[comp.dcom.telecom] Getting a Mortgage to Pay the Phone Bill

telecom@eecs.nwu.edu (TELECOM Moderator) (03/19/90)

In Argentina, rampant inflation is a fact of life. But even so,
Argentines were shocked by phone bills which went out the second week
of March that were as much as seventeen times higher than the month
before.

One resident of Buenos Aires, Antonio Lecce, paid a phone bill of
$3.60 for February, and got a $40 bill this month. That amounts to
about half a month's pay for the average citizen of that South
American country.

Rates went up March 9 by what the government-owned telephone
administration (Entel) said was an average of 433 percent. But bills
reflect much higher rates. The latest bimonthly service charge plus
200 calls, for example, increased by 1,682 percent, to 31,816
australs, or about $6.75.  A typical family's bill increased nearly
ten times to $43.80, which is prohibitively high for most people in
Argentina.

The government's explanation is that rates were eroded by inflation,
which skyrocketed by 12,000 percent in the past year. The overall
inflation rate in January alone was 79 percent, and 62 percent in
February.

Also, rates had to be increased to allow a profit at the
deficit-ridden Entel, which the government is trying desperately to
sell.

Entel director Maria Julia Alsogaray said, "People who cannot afford
the new rates can give up their service, and share with someone else."
Her comments, along with the increases outraged Argentines who live
with substandard phone service to begin with.  The phones go dead when
it rains, and even in nice weather it is difficult to get a dial tone
or the right connection on the first try.


Patrick Townson

horwath%cell.mot.COM@uunet.uu.net (George Horwath) (03/19/90)

Regarding the Argentine phone system:  Some years ago, when I was at
GTE, one of our engineers went down there to work on a PABX and
brought back some stories about the phone service. For example,
wealthy people have no trouble getting dial tone. When they want to
make a call, they inform a servant who then removes the handset from
the phone. The maid or butler is the one who waits for dial tone (up
to a half hour, if I recall correctly).


George Horwath, Motorola C.I.D.			1501 W. Shure Drive
 ...!uunet!motcid!horwath			Arlington Heights, IL 60004
Disclaimer: The above is all my fault.

lws@comm.wang.com (Lyle Seaman) (03/21/90)

telecom@eecs.nwu.edu (TELECOM Moderator) writes:

>Entel director Maria Julia Alsogaray said, "People who cannot afford
>the new rates can give up their service, and share with someone else."
>Her comments, along with the increases outraged Argentines who live
>with substandard phone service to begin with.  The phones go dead when
>it rains, and even in nice weather it is difficult to get a dial tone
>or the right connection on the first try.

It seems that the US isn't the only place where the people think of
telephone service as a necessity.  As few as 10 years ago, I knew
several families that didn't have 'phone service, due to its expense.
(I've moved away, so I don't know the current status).  Several years
ago, when I was living alone, I did without a home phone without much
difficulty.  The GDTC wanted a $150 deposit just to install one.
Incidentally, I didn't have a TV or stereo, just a clock radio.
Amazing how much _productive_ stuff I got done.

So it seems to me that a response of outrage really isn't warranted.


Lyle                     sendmail.cf under construction, pardon the From:
lws@comm.wang.com        (or, uunet!comm.wang.com!lws)  (508) 967-2322