Easton, Douglas George2024-08-132024-08-1319881988https://hdl.handle.net/1828/17703With the potential for competition within the Canadian Telecommunications industry increasing, and recent rate reductions in message toll rates, estimates of price elasticities have come to play an important role in forming the tariff decisions made by both the industry and their regulators. Also of concern to both parties is how consumers respond over time to changes in price. Keeping this in mind, the purpose of this thesis is to estimate toll price elasticities which incorporate dynamic adjustment. The model developed uses a double log linear specification which incorporates an Almon polynomial lag structure. The results of the model indicate that Intra-British Columbia toll price elasticities are in the inelastic portion of the demand curve and that adjustment to price changes occur within a year. The model also highlights the importance of income in determining the demand for toll service. As competition unfolds in the Canadian Telecommunications Industry, further investigation of how income affects long distance demand will be required.123 pagesAvailable to the World Wide WebThesis