How the air around you is sold for Billions of Dollars?

How the air around you is sold for Billions of Dollars? Spectrum being a very scarce natural resource of a country has to be judicially used for the purpose of nation building and the allocation process to telecom operators should be very transparent and ethical. There are various ways of how spectrum can be allocated and there is no best way that can be adopted universally. The market situation, Government policies, competition etc determine the price of the spectrum and this is purely a regulatory or a government decision to sell spectrum to telecom companies. The different allocation methods, their implications with case studies across the globe is analysed and presented in this paper. The reason why spectrum allocation should be fair and transparent and the cost should be reasonable is analysed and described.