Computerization has generated dra matic advances In telecommunica tions, such as mobile telephones and video conferencing. Coupled with this are major changes in regulation, as telephone companies face new compet itors. States are experimenting with new forms of utility regulation and de regulation in order to cope with the demands of rising competition. Here Mueller examines in detail the results of a radical telephone regulation law.In 1986, the state of Nebraska com pletely discarded traditional utility reg ulation, deregulating rates and profits of its local telephone companies. The Nebraska experiment has become a benchmark for reassessing the role of state regulation In the future of tele communications. Using comparative data from five midwestern states, Mueller shows how deregulation af fected rates, investment, infrastruc ture modernization, and profits. He uncovers both positive and negative results. Mueller found established telephone companies to be basically conservative, not aggressive and ex pansionist, and concludes that new competition, not regulation or deregu lation, is transforming the telecommu nications industry.This book is the first systematic em pirical study of the controversial Ne braska law and its broader effects. It will be a significant addition to the much debated issue of telecommuni cations deregulation. Economists, pol icymakers, and telecommunications managers will find in this volume a substantial resource. According to Robert Atkinson, senior vice president of Teleport Communications Group: "Nebraska's experiences with telecom munications deregulation - the good, the bad and the ugly - need to be un derstood by all telecommunications policymakers across the country so that they can emulate Nebraska's suc cesses and avoid its mistakes. Mueller provides the roadmap."