Monday, February 13, 2012
Posted by D. Daniel Sokol
David S. Evans, Global Economics Group, University of Chicago Law School, University College London, Richard Schmalensee, Massachusetts Institute of Technology (MIT) - Sloan School of Management, National Bureau of Economic Research (NBER), Michael D. Noel, University of California, San Diego, Howard H. Chang, Global Economics Group, LLC, and Daniel D. Garcia-Swartz, Compass Lexecon discuss Platform Economics: Essays on Multi-Sided Businesses.
ABSTRACT: This volume collects a series of essays that I have written over the last decade on multi-sided platform businesses that create value by providing products that enable two or more different types of customers to get together, find each other, and exchange value. Part I presents background pieces on the economics of multi-sided platforms and industries in which these platforms are common. Part II examines the antitrust economics of two-sided markets including the difficult problem of defining the boundaries of competition. Part III comprises several papers that apply two-sided market analysis to web-based businesses. Part IV does the same for payment cards which is the industry that attracted much of the early two-sided analysis — in part because this framework was helpful for understanding the hotly debated issue of interchange fees. Part V collects several article and book chapters on software platforms. These platforms have become especially important in the last several years because they are now the basis for revolutionary developments with mobile devices (e.g. the iPhone and Android), social networking (Facebook in particular), and payments (PayPalX).