Overview of Network Effects & Platforms in Digital Markets

31 Pages Posted: 19 Nov 2020

See all articles by John M. Yun

John M. Yun

George Mason University - Antonin Scalia Law School, Faculty

Date Written: November 11, 2020

Abstract

In this chapter, we address a number of foundational questions. What exactly are platforms? How do platforms relate to the various types of network effects? Importantly, do we need different tools to assess potential anticompetitive conduct that involves platforms?

Specifically, we begin with a discussion of the various types of network effects, as these effects are integral to understanding the nature of platforms. Next, we consider platforms more from the perspective of incentives rather than an overt focus on a standardized definition. We also discuss how platforms compete, including discussions of “zero-price” markets and the associated idea of “attention” markets. Finally, we offer some guidance on some relevant economic issues to consider when assessing platform markets in the context of antitrust cases.

Suggested Citation

Yun, John M., Overview of Network Effects & Platforms in Digital Markets (November 11, 2020). The Global Antitrust Institute Report on the Digital Economy 2, Available at SSRN: https://ssrn.com/abstract=3733656 or http://dx.doi.org/10.2139/ssrn.3733656

John M. Yun (Contact Author)

George Mason University - Antonin Scalia Law School, Faculty ( email )

3301 Fairfax Drive
Arlington, VA 22201
United States

Do you have a job opening that you would like to promote on SSRN?

Paper statistics

Downloads
263
Abstract Views
768
rank
151,418
PlumX Metrics