CONTACTS: Linda Rozett/Eric Wohlschlegel
(202) 463-5682 / 888-249-NEWS

 

 

 

WASHINGTON, D.C. – The United States Chamber of Commerce launched a new study today to analyze different regulatory changes in the telecommunications sector that could boost investment, innovation and jobs in that industry, and stimulate economic growth and job creation overall.

 

“The telecom sector is important to nearly every part of the American economy and renewed vitality there will support stronger economic growth across the board,” said Thomas Donohue, Chamber President and CEO.  “New investment in telecom services and equipment – computers, connections and new infrastructure – will go a long way to addressing the lagging job numbers in an otherwise healthy economy.”

 

The study – conducted by Coleman Bazelon of Analysis Group, assisted by Tom Hazlett with the Manhattan Institute and John Rutledge of Rutledge Capital Research – will describe the significant regulatory uncertainty in the industry, identify constraints on investment, provide economic modeling, and offer proposals to improve the system.

 

More than 25% of the non-farm jobs lost in the U.S. over the last few years were in the telecom services and equipment sector, even though this sector employs only one percent of all non-farm workers, according to industry estimates.  Since January 2001, the total market value of all publicly traded U.S. companies has declined by $1.7 trillion, with nearly half ($839 billion) of the losses occurring in the telecom sector.

 

 “American businesses need to operate in a marketplace where there is regulatory certainty,” said Donohue.  “This study will identify areas where the government can and should establish a regulatory structure that will withstand court challenges.”

 

The Chamber also announced it would host a policy summit this fall, once the study is completed, to bring together key decision makers to discuss the study’s recommendations.

 

The U.S. Chamber of Commerce is the world’s largest business federation representing more than three million businesses and organizations of every size, sector and region.

 

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