Privacy, Predictive Analytics, and Electronic Commerce Regulation

Abstract

This chapter discusses the implications of predictive analytics for consumer privacy and surveys the existing law that could reach predictive analytics in ecommerce. Part II summarizes the prevailing theoretical accounts of privacy. Part III introduces predictive analytics and illustrates its potential uses in ecommerce. Part IV examines how using predictive analytics in ecommerce affects consumer privacy. Part V examines how existing state and federal law could reach merchants’ use of predictive analytics in ecommerce. Finally, Part VI concludes by summarizing the uncertain application of existing law to predictive analytics.

Keywords: Privacy, Predictive Analytics, Electronic Commerce, Internet, Algorithms, Price Discrimination, Customer Segmentation, Predictive Pricing, Discrimination, Disparate Impact, Federal Trade Commission Act, Fair Housing Act, Equal Credit Opportunity Act