Abstract
We modified the inter-regional business interaction model proposed in our previous paper, which considers substitutability and complementarity between face to face communication and telecommunication, and applied the model to longitudinal inter-regional interaction data. In 1990's, the telecommunication cost was remarkably reduced to 1/2 to 1/5 levels, but the telephone traffics did not increase accordingly. We clarified that the effect oftransportation cost, inter-regional business administrative relation are stable on the inter-regional interaction in different time points. Centralities of both cities became insignificant for the interaction, and it may result the stable trend of the telephone traffics.
