A year-long study of telecommunications policies and regulations in nine states--Texas, California, Florida, Illinois, Nebraska, New York, Vermont, Virginia, and Washington--found that these states tend to be more flexible in their telecommunications regulation than other states, although the process for achieving this flexibility has tended to reflect each state's individual "personality." While these different approaches might provide "experiments" from which to select the best policies, too much difference between state policies might also make it difficult for large telecommunications companies to coordinate their activities. It also found that, although telecommunications policy initiatives were often tied to economic development, the reverse was not always true; however, the direct relationship between the two conditions needs further research. Threats to universal service are often the major counterargument to regulatory flexibility, and further attempts should be made to reach agreement among telecommunications companies, consumer groups, and policymakers on a definition of basic service that would satisfy the goal of universal service in an efficient manner. The states which were studied have discovered, or are discovering their importance as telecommunications users, and these states should initiate, or continue to develop, long range plans for telecommunications use. (EW)