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Analyzing Policies for the Transition to Digital Television : Focusing on the Switch-off Policy and the Subsidy for Set-top Boxes

  • Informatization Policy
  • Abbr : 정보화정책
  • 2007, 14(2), pp.81-100
  • Publisher : NIA
  • Research Area : Social Science > Public Policy

ILSOON SHIN 1 ILLTAE AHN 2

1인하대학교
2중앙대학교

Accredited

ABSTRACT

Although the digital terrestrial signaling have been started several years ago, the domestic digital transition is not satisfactory compared to the policy objectives. This paper studies the effects of the policy for the transition from analogue to digital television, with particular attention to the switch off of the analogue terrestrial signaling and the subsidy for set-top boxes. For this purposes, we construct a ‘total social welfare’measure with consideration of both industry and views’ welfare effects according to the various policy options. We reach the conclusion that; (1) the delaying of the switch off date is less efficient because of the opportunity cost of bandwidth and the endogenously delayed digital transition of views, (2) with consideration of the policy credibility, it is better to keep the announced subsidy policy rather than to deviate the announcements.

Citation status

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