Prices are capped on the downside by costs, but not on the upside. E.g. Veblen goods.

I don't think your argument that prices are high in Europe for the reason of regulation is supported by evidence. There are larger factors at play. To take one small example, the cost of erecting a tower in Paraguay is lower because wages are lower because living costs are lower because the GDP is lower. Because operating costs are lower you can offer lower prices. Regulation may be a factor but I don't think it's the main or only one in this case.