{"title":"Online privacy and market structure: Theory and evidence","authors":"Lorien Sabatino , Geza Sapi","doi":"10.1016/j.infoecopol.2022.100985","DOIUrl":"10.1016/j.infoecopol.2022.100985","url":null,"abstract":"<div><p>This paper investigates how privacy regulation affects the structure of online markets. We empirically analyse the effects of the 2009 ePrivacy Directive in Europe on firm revenues. Our results indicate that, if any, only large firms were weakly negatively affected by the implementation of the Directive. We also provide a simple theoretical model predicting an avenue how privacy regulation may predominantly influence the revenues and profits of larger firms, even if - as some of our evidence indicates - these larger firms may actually offer more privacy than smaller rivals. Our results suggest that while privacy regulation is not without costs to businesses, it need not distort competition to the favour of larger firms.</p></div>","PeriodicalId":47029,"journal":{"name":"Information Economics and Policy","volume":"60 ","pages":"Article 100985"},"PeriodicalIF":2.8,"publicationDate":"2022-09-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"46199454","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Partisan selective exposure in news consumption","authors":"Sylvain Dejean , Marianne Lumeau , Stéphanie Peltier","doi":"10.1016/j.infoecopol.2022.100992","DOIUrl":"10.1016/j.infoecopol.2022.100992","url":null,"abstract":"<div><p>The development of online social media has raised concerns about how individuals are over-exposed to partisan news. However, social media are only a part of the daily media diet of an average consumer (<span>Allcott and Gentzkow, 2017</span>; <span>Allen et al., 2020</span>). The aim of this paper is therefore to examine partisan news exposure with respect to the entire media diet. We develop a partisan selective exposure index that indicates the over-representation of partisan political opinions in individual daily news consumption. Our analysis of data from a survey of 4,000 people in France shows that on average, partisan exposure is low when social media are excluded. Our estimations also indicate that social media consumption increases selective exposure to partisan content. While the youngest and the less educated appear to be less exposed to partisan content in the absence of social media, our results suggest that this is no longer the case when social media are included in the news diet. Finally, we show that the more people declare extreme (right- or left-wing) political views, the more they are over-exposed to like-minded content.</p></div>","PeriodicalId":47029,"journal":{"name":"Information Economics and Policy","volume":"60 ","pages":"Article 100992"},"PeriodicalIF":2.8,"publicationDate":"2022-09-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"48185812","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Guilherme Amorim , Rafael Costa Lima , Breno Sampaio
{"title":"Broadband internet and protests: Evidence from the Occupy movement","authors":"Guilherme Amorim , Rafael Costa Lima , Breno Sampaio","doi":"10.1016/j.infoecopol.2022.100982","DOIUrl":"https://doi.org/10.1016/j.infoecopol.2022.100982","url":null,"abstract":"<div><p>This paper investigates the influence of broadband internet availability in the occurrence of events of civil unrest. Using collected data on 2011’s Occupy Movement in the U.S., we find that each new Internet Service Provider (which is associated to an increase in broadband penetration) accounts for an increase between 1 and 3 p.p. in the probability of observing protests in a given location. Results are consistent when analyzing county-level data for the contiguous U.S., for each different U.S. region separately (Northeast, Midwest, South and West), and when analyzing city-level data for California.</p></div>","PeriodicalId":47029,"journal":{"name":"Information Economics and Policy","volume":"60 ","pages":"Article 100982"},"PeriodicalIF":2.8,"publicationDate":"2022-09-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"137419573","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Big Tech platform acquisitions of start-ups and venture capital funding for innovation","authors":"Tiago S. Prado, Johannes M. Bauer","doi":"10.1016/j.infoecopol.2022.100973","DOIUrl":"10.1016/j.infoecopol.2022.100973","url":null,"abstract":"<div><p>This paper investigates the effects of “Big Tech” platform acquisitions on venture capital (VC) funding for start-ups. We analyze 32,367 venture capital deals between 2010 and 2020, and 392 tech start-up acquisitions by Google, Facebook, Amazon, Apple, and Microsoft. Results obtained with fixed effects panel and differences-in-differences estimators reveal a positive, statistically significant, average effect of Big Tech start-up acquisitions on worldwide, venture capital activity. Positive effects were also found for the United States and Europe. However, the findings suggest that the effects are transient and fade away after several quarters. Because venture capitalists fund start-ups to enable entrepreneurial innovation, this approach also informs our understanding of the repercussions of these acquisitions on the start-up innovation ecosystem. The large number of observations over an extended period unlocks insights into historical patterns that are relevant for the design of digital platform policies.</p></div>","PeriodicalId":47029,"journal":{"name":"Information Economics and Policy","volume":"59 ","pages":"Article 100973"},"PeriodicalIF":2.8,"publicationDate":"2022-06-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://www.sciencedirect.com/science/article/pii/S0167624522000129/pdfft?md5=42abac0dcec90ccfe5f23815e87bfa90&pid=1-s2.0-S0167624522000129-main.pdf","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"41880008","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Does digitalization spur global value chain participation? Firm-level evidence from emerging markets","authors":"Sasidaran Gopalan , Ketan Reddy , Subash Sasidharan","doi":"10.1016/j.infoecopol.2022.100972","DOIUrl":"10.1016/j.infoecopol.2022.100972","url":null,"abstract":"<div><p>Does digitalization by firms spur participation in Global Value Chains (GVCs)? Rapid strides in information and communication technology (ICT) through cost-effective and reliable telecommunications have facilitated multinational firms to outsource complex production activities across borders over the years. While the rise of GVCs to prominence has coincided with the ICT revolution, there is very little systematic empirical evidence at the firm-level documenting the nexus between digitalization of firms and their participation in GVCs. By using rich firm-level data for a sample of 24,839 firms across 52 countries spanning the period 2006–2018, we empirically test the importance of digitalization in deepening GVC participation. After correcting for potential biases arising from self-selection and reverse causality, our empirical analysis shows that digitalization by firms positively influences GVC deepening. Our results are quite robust to various measures of GVCs and digitalization. Further, we also document how digitalization boosts GVC integration of firms that are financially constrained.</p></div>","PeriodicalId":47029,"journal":{"name":"Information Economics and Policy","volume":"59 ","pages":"Article 100972"},"PeriodicalIF":2.8,"publicationDate":"2022-06-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://www.sciencedirect.com/science/article/pii/S0167624522000117/pdfft?md5=0f9b5d29032cbd6aeacb8d167227db91&pid=1-s2.0-S0167624522000117-main.pdf","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"43918240","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"The role of prior warnings when cheating is easy and punishment is credible","authors":"Marc Humbert , Xavier Lambin , Eric Villard","doi":"10.1016/j.infoecopol.2021.100959","DOIUrl":"10.1016/j.infoecopol.2021.100959","url":null,"abstract":"<div><p>During the COVID-19 sanitary crisis, many exams were hastily moved to online mode. This revived a much needed debate over the privacy issues associated with online proctoring of exams, while the validity and fairness of unproctored exams were increasingly questioned. With a randomized control trial, we estimate the effectiveness of prior warnings as a means of discouraging academic dishonesty in exams. We use original, non-intrusive technologies to surreptitiously identify cheating in a series of unproctored assignments and send a targeted warning to half of the students who were identified as cheaters. We then compare their cheating behavior on the final exam with the behavior of the group of unwarned cheaters. The warning proves effective but does not completely eliminate cheating, as some students’ cheating strategies become more sophisticated following issuance of the warnings. We conclude that switching traditional exams to online mode should be accompanied by proctoring. When proctoring is not possible, credible and effective anti-cheating technologies should be deployed together with adequate warnings.</p></div>","PeriodicalId":47029,"journal":{"name":"Information Economics and Policy","volume":"58 ","pages":"Article 100959"},"PeriodicalIF":2.8,"publicationDate":"2022-03-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://www.sciencedirect.com/science/article/pii/S0167624521000470/pdfft?md5=6259ddc091de0e9d3ae59b7b329ac645&pid=1-s2.0-S0167624521000470-main.pdf","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"48019931","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"The impact of telecommunication regulatory policy on mobile retail price in Sub-Saharan African countries","authors":"Onkokame Mothobi","doi":"10.1016/j.infoecopol.2021.100963","DOIUrl":"10.1016/j.infoecopol.2021.100963","url":null,"abstract":"<div><p><span>This paper examines the effect of regulatory policies on mobile retail prices. Using quarterly data for 8 African countries for the period 2010:Q4 to 2014:Q4 we estimate structural demand and supply equations. We find that mobile termination rates (MTR) have significant positive impact on mobile retail prices. A decline in average MTR of 10% decreases average mobile retail prices by 2.5%. On the other hand, mobile number portability (MNP) has an insignificant effect on price and subscriptions in selected African countries. This may be due to inadequate implementation of MNP and consecutively low demand for porting numbers. The average market conduct in mobile telecommunications industry<span> for selected African countries can be approximated by Cournot Nash equilibrium, while price elasticity of demand is on average </span></span><span><math><mo>−</mo></math></span>0.27.</p></div>","PeriodicalId":47029,"journal":{"name":"Information Economics and Policy","volume":"58 ","pages":"Article 100963"},"PeriodicalIF":2.8,"publicationDate":"2022-03-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"48636235","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Zero-rating, content quality, and network capacity","authors":"Emmanuel Lorenzon","doi":"10.1016/j.infoecopol.2022.100965","DOIUrl":"10.1016/j.infoecopol.2022.100965","url":null,"abstract":"<div><p>We consider a departure from net neutrality by an Internet service provider (ISP) that financially discriminates among content providers through exclusive zero-rating contracts. Zero-rating is an instrument to distort competition between content providers and the manner in which consumers value content. We analyze its implications for the incentives to provide quality in the market for content and to invest in broadband infrastructure. Zero-rating makes content more expensive for consumers to use and imply a downward distortion of content quality. Content providers switch from minimal differentiation to a downward vertical differentiation outcome. Next, we find that zero-rating implies underprovision in the broadband infrastructure, which comes from a standard rent-extraction argument and a cost-alleviation channel related to the complementarity between network capacity and content quality. Finally, when implemented, zero-rating is found to be welfare reducing and detrimental to consumers.</p></div>","PeriodicalId":47029,"journal":{"name":"Information Economics and Policy","volume":"58 ","pages":"Article 100965"},"PeriodicalIF":2.8,"publicationDate":"2022-03-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"45022870","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Market must be defended: The role of counter-espionage policy in protecting domestic market welfare","authors":"Alex Barrachina , Teresa Forner-Carreras","doi":"10.1016/j.infoecopol.2022.100964","DOIUrl":"10.1016/j.infoecopol.2022.100964","url":null,"abstract":"<div><p>Governments of advanced economies are extremely concerned about the illicit acquisition of information on critical technologies employed by their industries, and countering this economic espionage is quickly becoming one of their top priorities. The present paper advances the theoretical analysis of the interaction between economic espionage and counter-espionage, and presents a first approximation to an inquiry into the rationale for the influence of market competition in its dynamics. The proposed model assumes a country with a one-market economy open to international trade whose product is supplied by domestic firms. Moreover, successful economic espionage implying market entry of foreign firms would harm domestic welfare. Considering counter-espionage policy as entry barrier and sufficient efficiency in espionage and counter-espionage efforts, the analysis of the benchmark case characterized by no foreign consumer and one foreign firm suggests that demand characteristics play an important role in the complex influence of competition in espionage. Irrespective of this, optimal counter-espionage effort is always positive although negatively affected by competition.</p></div>","PeriodicalId":47029,"journal":{"name":"Information Economics and Policy","volume":"58 ","pages":"Article 100964"},"PeriodicalIF":2.8,"publicationDate":"2022-03-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"46361413","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Mobility restrictions and the substitution between on-site and remote work: Empirical evidence from a European online labour market","authors":"Frank Mueller-Langer , Estrella Gómez-Herrera","doi":"10.1016/j.infoecopol.2021.100951","DOIUrl":"10.1016/j.infoecopol.2021.100951","url":null,"abstract":"<div><p>Intensified by the COVID-19 pandemic, online labour markets are at the core of the economic and policy debate about the future of work and the conditions under which we work online. We analyse the effects of an increase in the cost of on-site work induced by COVID-19-related mobility restrictions on the substitution between on-site and remote job postings and between on-site and remote hires. We benefit from the fact that the implementation of stay-at-home requirements varies by country, time and level. We use unique company data from a large European online labour market. We provide empirical evidence for a positive effect of stay-at-home restrictions on job postings and hires of remote work relative to on-site work. Overall, our results suggest that employers are substituting remote employment for on-site employment, while there is no substantial change in overall employment.</p></div>","PeriodicalId":47029,"journal":{"name":"Information Economics and Policy","volume":"58 ","pages":"Article 100951"},"PeriodicalIF":2.8,"publicationDate":"2022-03-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"48552239","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}