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1 1 (1998)

handle is hein.amenin/aeiaakv0001 and id is 1 raw text is: As telecommunications service markets in individ- ual countries have become less regulated and more competitive, telecommuni- cations equipment has developed a global market in which sales for new systems are hotly contested and competition, particu- larly technology-based competition, is fierce. Ronald A. Cass and John Haring explore the issues relevant to selecting an appropriate trade policy for telecommunications equipment and products with similar characteristics. The authors use only the simplest instruments in the economists's toolkit. They eschew devices that noneconomists use for assessing good policy because those tend to provide better arguments than answers and often restate economic issues in other terms. They also abjure relying on the more sophisticated analytical tools that many academic economists favor because those tools, while helpful in many circumstances, seldom resolve policy issues with the information available to policymakers. Cass and Haring argue that the simpler tools do not allow them to escape the need for data but do facilitate decisionmaking on the sort of information that is generally available or that, for the most part, can be estimated with relative confidence. The authors advise policymakers to take open trade as the baseline and to move away from it only when the gains are clear and the arguments compelling. Some restrictions on trade in telecommunications equipment can be supported, but it is got clear that opening the door to the possibility of such restrictions will not bring more costs than benefits. Ronald A. Cass is dean and Melville Madison Bigelow Professor of Law at Boston University. John Haring is a principal in Strategic Policy Research, an economics consultancy based in Bethesda, Maryland. The MIT Press $32.50 ISBN 084474071-3 53250 The AEI Press Publisher for the American Enterprise Institute 1150 17th Street, N.W., Washington, D.C. 20036 9 780844 740713

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