News

Impact of VAT-Exemptions in the Postal Sector on Competition and Welfare

A new publication written by Swiss Economics.

The research article «Impact of VAT-Exemptions in the Postal Sector on Competition and Welfare» by Swiss Economics and researchers from the University of Zurich shows how service providers exempted from the obligation to pay a value-added tax are favoured in competition. Further, this unequal treatment substantially affects outsourcing decisions and the labour market.

Helmut Dietl, Christian Jaag, Markus Lang, Martin Lutzenberger and Urs Trinkner (2011). «Impact of VAT-Exemptions in the Postal Sector on Competition and Welfare». In Reinventing the Postal Sector in an Electronic Age. Edited by M. Crew and P.R. Kleindorfer, Edward Elgar, pp. 267-280.

Published in the same book: Maegli Martin, Christian Jaag, Martin Koller and Urs Trinkner (2011). «Postal Markets and Electronic Substitution: Implications for Regulatory Practices and Institutions in Europe». In Reinventing the Postal Sector in an Electronic Age. Edited by M. Crew and P.R. Kleindorfer, Edward Elgar, pp. 109-122.

New research published

An article by Christian Jaag and Urs Trinkner has been published in  the Journal of Regulatory Economics.

The research article «The interaction between universal service costing and financing in the postal sector: a calibrated approach» by Christian Jaag and Urs Trinkner has been published in the Journal of Regulatory Economics.

To the document

Presentation at the DG MARKT economic seminar

Christian Jaag gave a presentation on «Yet another case of unintended consequences: VAT exemption and the public interest» at the DG MARKT economic seminar.

The presentation illustrates the distortive effects of VAT exemptions on competition in a newly liberalized industry and how they can be included in the calculation of the net cost of universal service obligations.

Presentation at the 2010 Conference on Competition and Regulation in Network Industries

Swiss Economics presented the paper «An Economic Framework to Understand and Assess Regulations in Network Industries».

Swiss Economics presented the paper «An Economic Framework to Understand and Assess Regulations in Network Industries» at the 2010 Conference on Competition and Regulation in Network Industries.

In addition to a theoretical framework, he also presented two applications: Liberalization in network industries and the development of regulation in the postal sector.

New staff member

Swiss Economics welcomes Oliver Fürst as a new staff member!

Oliver Fürst holds a Master of Arts in Economics and Business Administration from the University of Zurich. At Swiss Economics he works as a consultant for strategy and regulation in network industries.

Presentations at the Conference on Trends and Innovation for the Postal Market

Swiss Economics contributed three new research papers to the Conference on Trends and Innovation for the Postal Market.

Post Office Network Realignments and their Impact on Innovation
To the presentation

Postal Regulation, Declining Mail Volumes, and the Transformation of Business Models?
To the presentation

Postal markets and electronic substitution: What is the impact of intermodal competition on regulatory practices and institutions? The paper has received the «best paper award».
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Presentations at the 18th Conference on Postal and Delivery Economics

Swiss Economics contributed with three presentations to the 18th Conference on Postal and Delivery Economics.

  • Impact of VAT-Exemptions in the Postal Sector on Competition and Welfare
  • Postal Markets and Electronic Substitution: What is the Impact of Convergence on Regulatory Practices and Institutions?
  • Practical Approaches to USO Costing and Financing

Presentation on International FTTH-Policies

At the «Second Annual Conference on Competition and Regulation in Network Industries» Christian Jaag has given a presentation on «Approaches to FTTH-Regulation: An International Comparison».

Christian Jaag gave a presentation on «Approaches to FTTH-Regulation: An International Comparison» at the 2nd Annual Conference on Competition and Regulation in Network Industries.

Presentation on the Future of Universal Services in the Postal Sector

A presentation by Urs Trinkner.

At the «IPC Senior Executive Forum on Regulation» Urs Trinkner has given a presentation on «Shaping the USO? An Outline of Thought from an Economic Perspective».

Presentation on Price Regulation in Postal Markets

A presentation by Christian Jaag.

At the 42nd Freiburger Verkehrsseminar, Christian Jaag gave a presentation on «Preisobergrenzen in liberalisierten Postmärkten» (in German).

Virtual currencies and posts: A perfect match!

Our latest Swiss Economics update elaborates on the opportunities virtual currencies present to the postal sector.

Virtual currencies like Bitcoin are progressively gaining in popularity. However, limited availability still preempts their broad usage. Postal operators with their spatially comprehensive physical presence could play a key role in providing easy, quick and nationwide access to these alternative currencies. The postal network thus constitutes a natural bridge between the virtual and the physical worlds.

New staff member

Swiss Economics welcomes Dr. Christian Bach as a new staff member!

Christian Bach is a Project Manager with Swiss Economics and lectures at the EpiCenter, Maastricht University. He is an expert in game theory and works in network industries, regulation and on virtual currencies. After his studies of economics and philosophy, he received a Ph.D. in game theory from HEC Lausanne and Maastricht University. Christian Bach was a postdoctoral fellow at Maastricht University, and a visiting scholar at NYU Stern School of Business.

New publication

New publication on price regulation and the financing of Universal Service Obligations.

This article explores the complementary roles of price regulation and universal service regulation in network industries The analysis shows that current practices of costing and financing universal services may result in unintended market distortions. The article quantifies these effects and demonstrates how such distortions can be avoided.

To the article

Regulation of e-commerce

Swiss Economics' update for May 2013.

E-commerce is an important growth area for postal operators. In its update, Swiss Economics analyzes and discusses the risks and opportunities associated with maintaining or even extending the regulation of e-commerce.

Three new publications

Three new publications on consumer preferences, termination charges, and social cost of regulation.

How to better measure consumer preferences in the postal market? How to set international parcel termination charges? What is the social cost of regulation in the postal sector? In the recently published book «Reforming the Postal Sector in the Face of Electronic Competition» by Prof. M. Crew and Prof. P. Kleindorfer, three papers by members of Swiss Economics have been included that address these questions.

Regulation of e-commerce

Presentation at the 2nd European Postal Regulation Forum on the regulation of e-commerce.

Christian Jaag has given a presentation on the regulation of e-commerce at the 2nd European Postal Regulation Forum.
Smart grids, smart regulation

Presentation at the 3rd IEEE Smart Grid World Forum on the regulation of smart grids.

Urs Trinkner was asked by the 3rd IEEE Smart Grid World Forum to address the regulation of smart grids in an introduction and a panel discussion.

IRIT for railway passenger transport services

A presentation by Sonia Strube Martins.

At the 5th Annual Competition and Regulation in Network Industries Conference in Brussels, Sonia Strube Martins presented a paper on Integrated timetables for railway passenger transport services.

Universal Service Obligations and Patents

A presentation by Christian Jaag.

At the 3rd Annual Trends in Innovation in the Postal Market Conference, Christian Jaag presented a new research paper on the interplay of universal service obligations and patents in network industries.

Presentations at the 20th Conference on Postal and Delivery Economics

Swiss Economics contributed new research papers to the 20th Conference on Postal and Delivery Economics.

Swiss Economics contributed the following new research papers to the 20th Conference on Postal and Delivery Economics:

  • Defining and Financing an Intermodal USO
  • Competition and the Social Cost of Regulation in the Postal Sector
  • Termination Charges in the International Parcel Market
  • Measuring Consumer Preferences for Postal Services

All publications are available here.

New staff member

Swiss Economics welcomes Dr. Sonia Strube Martins as a new staff member!

After her studies in economics at the University of Münster Sonia Strube Martins received a doctoral degree in economics and worked as Senior Economist at Wissenschaftliches Institut für Infrastruktur- und Kommunikationsdienste in Bad Honnef. At Swiss Economics she works as a project manager with a focus on competitive analysis of markets, regulation in network industries and economic policy.
Convergence in the communications market and regulatory challenges

Swiss Economics' update for February 2012.

The convergence of physical letter mail and electronic substitutes challenges postal operators and the regulatory framework alike. In its update, Swiss Economics analyzes and discusses the economic context.

Presentation on Competition and Regulation in the Postal Sector

A presentation by Christian Jaag.

At the Post-Expo 2011, World Postal Business Forum Christian Jaag gave a presentation on «The role of the universal service obligation in postal competition».

Publication on the Financing of Universal Service Obligations

The Review of Network Economics published a new article on the financing of universal service obligations.

The paper «What is an Unfair Burden? Compensating the Net Cost of Universal Service Provision» by Christian Jaag appeared in the Review of Network Economics. It discusses the net cost of universal service obligations and the potential burden they represent on the universal service provider. Specifically, it analyzes the situation in the postal sector after full liberalization.

The paper considers various interpretations of what an unfair burden might be and discusses the competitive impact of corresponding compensation scenarios by means of a stylized theoretical model with endogenous entry and coverage decisions.

To the paper

Presentations at the 19th CPDE in Jersey

Two new presentations on defending markets and adapting the USO in a future-oriented way.

Swiss Economics contributed two presentations and papers to the 19th Conference on Postal and Delivery Economics:

«Defending Mail Markets against New Entrants»
To the slides

«Future of USO - Economic rationale for universal services and implications for a future-oriented definition of universal service obligations»
To the slides

Career Start in Economic Consulting

Job opening: Swiss Economics is looking for a passionate and exceptional economist.

Swiss Economics is looking for a passionate and exceptional economist with the capability to apply the most recent microeconomic concepts and to find pragmatic and robust solutions to complex problems. You are aiming at earning a doctorate to deepen your knowledge in industrial and regulatory economics and looking for an exciting career start opportunity in economic consultancy.

We are looking forward to receiving your CV and cover letter.