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This is one of the first texts on the market to provide a foundation for covering the important subject of electronic commerce within college and university economics curricula. Applying basic principles of economics, the book surveys the various ways that economics can be applied to the area of electronic commerce and how the e-commerce revolution affects the economy. It features full coverage of the implications of electronic commerce within the various areas of the discipline; balanced examinations of how basic economic principles continue to apply to the electronic marketplace and of how features of certain products sold in this marketplace have required rethinking some of those principles; and numerous current-interest features underscoring the real-world relevance of the study of e-commerce economics.
UNIT I: ELECTRONIC COMMERCE—MARKETS AND PRICES 1. Foundations of Electronic Commerce 2. Applying Basic Economic Principles to Electronic Commerce 3. Imperfect Competition, Virtual Products, and Network Industries 4. Business Strategies and Conduct in the Electronic Marketplace UNIT II: INFORMATION, ADVERTISING, AND INNOVATION IN THE ELECTRONIC 5. Searching for Information in Electronic Markets 6. Internet Advertising 7. Innovation, Intellectual Property Rights, and the Internet UNIT III: INTERNET FINANCE, ONLINE BANKING, AND E-MONEY 8. Online Financial Markets 9. The Economics of Online Banking 10. Digital Cash and Electronic Payments UNIT IV: POLICY IMPLICATIONS OF ELECTRONIC COMMERCE 11. Regulatory Issues in Electronic Markets 12. The Public Sector and the Electronic Marketplace 13. Electronic Commerce and the World Trading System 14. The Electronic Marketplace and Aggregate Economics Activity