An important result of this study is that market intervention that
would promote greater service penetration
in these study areas is desirable since collusive behavior,
even if implicit, do occur. Such behavior will impact the
number of households receiving service. We refer to
Table 4, Table 1a and Table 1b.
We note the
total number of households served in each service area using
Cournot quantities or cooperative quantities. In service area
A this is 21765 households using Cournot quantities and
20741 using cooperative quantities. Dividing each sum by the number of
households in service area A, which is 26419 households, comes
to 82.38
and 78.51
respectively. In other words, the
number of households served in a market such as this would
be well below expectations for universal service, if the
market were left to market forces.