The Oxford Handbook of the Digital Economy

Overview

The economic analysis of the digital economy has been a rapidly developing research area for more than a decade. Through authoritative examination by leading scholars, this handbook takes a closer look at particular industries, business practices, and policy issues associated with the digital industry. The volume offers an up-to-date account of key topics, discusses open questions, and provides guidance for future research. It offers a blend of theoretical and empirical works that are central to understanding the...

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The Oxford Handbook of the Digital Economy

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Overview

The economic analysis of the digital economy has been a rapidly developing research area for more than a decade. Through authoritative examination by leading scholars, this handbook takes a closer look at particular industries, business practices, and policy issues associated with the digital industry. The volume offers an up-to-date account of key topics, discusses open questions, and provides guidance for future research. It offers a blend of theoretical and empirical works that are central to understanding the digital economy. The chapters are presented in four sections, corresponding with four broad themes: 1) infrastructure, standards, and platforms; 2) the transformation of selling, encompassing both the transformation of traditional selling and new, widespread application of tools such as auctions; 3) user-generated content; and 4) threats in the new digital environment.

The first section covers infrastructure, standards, and various platform industries that rely heavily on recent developments in electronic data storage and transmission, including software, video games, payment systems, mobile telecommunications, and B2B commerce. The second section takes account of the reduced costs of online retailing that threatens offline retailers, widespread availability of information as it affects pricing and advertising, digital technology as it allows the widespread employment of novel price and non-price strategies (bundling, price discrimination), and auctions. The third section addresses the emergent phenomenon of user-generated content on the Internet, including the functioning of social networks and open source. The fourth section discusses threats arising from digitization and the Internet, namely digital piracy, privacy, and security concerns.

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Editorial Reviews

From the Publisher
"Analysis of the Internet and related technologies is in its infancy—not surprising, given the newness of these technologies. It is therefore a bit of a daunting task to produce a 'handbook' on the digital economy. This volume, edited by two academic economists, does a reasonable job of covering this wide terrain. . .is a an excellent snapshot of the existing state of the art in social scientific analysis of the digital economy. Recommended."—CHOICE

"Martin Peitz and Joel Waldfogel's handbook offers readers a broad overview of many of the key elements that undergird the digital economy. It is compiled in a manner that does not require a start-to-finish read; each chapter is approachable by itself, so the reader can skip around and still gain many of the insights the handbook has to offer."— ournal of Regional Science

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Product Details

  • ISBN-13: 9780195397840
  • Publisher: Oxford University Press
  • Publication date: 8/6/2012
  • Series: Oxford Handbooks Series
  • Pages: 624
  • Sales rank: 1,279,380
  • Product dimensions: 7.10 (w) x 9.80 (h) x 1.50 (d)

Meet the Author

Martin Peitz is Professor of Economics at the University of Mannheim. His research focuses on industrial organization, regulation, and microeconomics. He has been widely published in leading economics journals and is author of the books Industrial Organization: Markets and Strategies and Regulation and Entry into Telecommunications Markets.

Joel Waldfogel is Professor and Frederick R. Kappel Chair in Applied Economics at the Carlson School of Management, University of Minnesota. His main research interests are industrial organization and law and economics. He has published over 50 articles in scholarly outlets and authored two books, The Tyranny of the Market: Why You Can't Always Get What You Want and Scroogenomics: Why You Shouldn't Buy Presents for the Holidays.

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Table of Contents

Contents

List of Contributors

Introduction, Martin Peitz and Joel Waldfogel

PART I INFRASTRUCTURE, STANDARDS, AND PLATFORMS

1. Internet Infrastructure, Shane Greenstein
2. Four Paths to Compatibility, Joseph Farrell and Timothy Simcoe
3. Software Platforms, Andrei Hagiu
4. Home Videogame Platforms, Robin S. Lee
5. Digitization of Retail Payments, Wilko Bolt and Sujit Chakravorti
6. Mobile Telephony, Steffen Hoernig and Tommaso Valletti
7. Two-Sided B to B Platforms, Bruno Jullien

PART II THE TRANSFORMATION OF SELLING

8. Online versus Offline Competition, Ethan Lieber and Chad Syverson
9. Comparison Sites, José-Luis Moraga-González and Matthijs Wildenbeest
10. Price Discrimination in the Digital Economy, Drew Fudenberg and J. Miguel Villas-Boas
11. Bundling Information Goods, Jay Pil Choi
12. Internet Auctions, Ben Greiner, Axel Ockenfels, and Abdolkarim Sadrieh
13. Reputation on the Internet , Luís Cabral
14. Advertising on the Internet, Simon P.Anderson

PART III USER-GENERATED CONTENT

15. Incentive-Centered Design for User-Contributed Content, Lian Jian and Jeffrey K. MacKie-Mason
16. Social Networks on the Web, Sanjeev Goyal
17. Open Source Software, Justin P. Johnson

PART IV THREATS ARISING FROM DIGITIZATION AND THE INTERNET

18. Digital Piracy: Theory, Paul Belleflamme and Martin Peitz
19. Digital Piracy: Empirics, Joel Waldfogel
20. The Economics of Privacy, Laura Brandimarte and Alessandro Acquisti
21. Internet Security, Tyler Moore and Ross Anderson

Index

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