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Net neutrality, pricing instruments and incentives

Author: Joshua Gans; Michael L Katz; National Bureau of Economic Research,
Publisher: Cambridge, Mass. : National Bureau of Economic Research, 2016.
Series: Working paper series (National Bureau of Economic Research), no. 22040.
Edition/Format:   eBook : Document : EnglishView all editions and formats
Summary:
We correct and extend the results of Gans (2015) regarding the effects of net neutrality regulation on equilibrium outcomes in settings where a content provider sells its services to consumers for a fee. We examine both pricing and investment effects. We extend the earlier paper's result that weak forms of net neutrality are ineffective and also show that even a strong form of net neutrality may be ineffective. In  Read more...
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Details

Material Type: Document, Internet resource
Document Type: Internet Resource, Computer File
All Authors / Contributors: Joshua Gans; Michael L Katz; National Bureau of Economic Research,
OCLC Number: 944526840
Notes: "February 2016"
Description: 1 online resource (15 pages).
Series Title: Working paper series (National Bureau of Economic Research), no. 22040.
Responsibility: Joshua S. Gans, Michael L. Katz.

Abstract:

We correct and extend the results of Gans (2015) regarding the effects of net neutrality regulation on equilibrium outcomes in settings where a content provider sells its services to consumers for a fee. We examine both pricing and investment effects. We extend the earlier paper's result that weak forms of net neutrality are ineffective and also show that even a strong form of net neutrality may be ineffective. In addition, we demonstrate that, when strong net neutrality does affect the equilibrium outcome, it may harm efficiency by distorting both ISP and content provider investment and service-quality choices.

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