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The Phone You're Paying For But Not Getting

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Replying to:  Faulty Assumption by T Bone   Mar 20, 2013, 11:04 AM

Re: Faulty Assumption

by vikes0115    Mar 20, 2013, 11:18 AM

There is not a faulty assumption on the author's part. The subsidy is part of the carrier's costs and thus part of the cost of providing the service, so it does in fact go into the service plan costs.

I do, however, agree with you that the plans would cost exactly the same even if subsidies were abolished. That is because we have allowed an oligopoly to form in the US cellular market.

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