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AT&T/GTE vs. AT&T/baby Bell

          In the wake of the Worldcom bid for MCI, there is speculation about
  a possible AT&T/GTE merger.  It was only about a year ago that AT&T was
  talking to SBC (or was it Southern Bell?) about a possible merger.  Reed
  Hundt effectively killed this deal with pronouncements from his bully
  pulpit.  There seems to be a lack of similar reaction to the latest
  anouncement.  Aren't the antitrust concerns the same (vertical foreclosure,
  potential competition) for AT&T merging with GTE or a baby Bell?  Why block
  a AT&T/baby Bell merger and not a AT&T/GTE merger?
  Mike Ward
  Michael R. Ward                                   (217) 244-5667
  Dept. of Ag. and Consumer Econ.                   ward1@uiuc.edu
  University of Illinois          http://www.uiuc.edu/ph/www/ward1