Comments on: How to make £22 Billion from 3Gs http://www.onehourahead.com/blog/2007/10/26/how-to-make-22-billion-from-3gs/ Welcome Sat, 22 Nov 2008 05:35:25 +0000 http://wordpress.org/?v=2.6.3 By: Tristan Mills http://www.onehourahead.com/blog/2007/10/26/how-to-make-22-billion-from-3gs/#comment-14 Tristan Mills Sun, 28 Oct 2007 15:38:11 +0000 http://www.onehourahead.com/blog/?p=16#comment-14 That is an odd statement from Redwood. Unless he's some sort of Rothbardian anarcho-capitalist who believes that the first to use the spectrum should have ownership so long as they're using it (homesteading it) then I fail to see what else was to be done. I do think it highlights where 'free market' supporters often go wrong - the state should not interfere, true, but companies must bear the costs of their mistakes as well (hence business leaders are often in favour of government action in their interests but free markets where it suits them - just as other groups do) That is an odd statement from Redwood.

Unless he’s some sort of Rothbardian anarcho-capitalist who believes that the first to use the spectrum should have ownership so long as they’re using it (homesteading it) then I fail to see what else was to be done.

I do think it highlights where ‘free market’ supporters often go wrong - the state should not interfere, true, but companies must bear the costs of their mistakes as well (hence business leaders are often in favour of government action in their interests but free markets where it suits them - just as other groups do)

]]> By: Joe Taylor http://www.onehourahead.com/blog/2007/10/26/how-to-make-22-billion-from-3gs/#comment-11 Joe Taylor Fri, 26 Oct 2007 19:26:46 +0000 http://www.onehourahead.com/blog/?p=16#comment-11 I couldn't agree more. The auction was the ideal way of allocating a limited resource, the buyers knew what they were buying (how can you mis-sell a part of the electromagnetic spectrum?) and they paid what they thought was a fair price. I'd love to see John Redwood come up with a better process - perhaps his review group would have preferred us to carve the spectrum up into four licenses and give them to the four established players in the market gratis? Sometimes the Tories are more pro-business than pro-market. Indeed this is an apt illustration of why the two things are not the same. I couldn’t agree more. The auction was the ideal way of allocating a limited resource, the buyers knew what they were buying (how can you mis-sell a part of the electromagnetic spectrum?) and they paid what they thought was a fair price.

I’d love to see John Redwood come up with a better process - perhaps his review group would have preferred us to carve the spectrum up into four licenses and give them to the four established players in the market gratis?

Sometimes the Tories are more pro-business than pro-market. Indeed this is an apt illustration of why the two things are not the same.

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