Gomes, Renato and Mantovani, Andrea (2022) Regulating Platform Fees under Price Parity. TSE Working Paper, n. 22-1325, Toulouse, France

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Online intermediaries greatly expand consumer information, but also raise sellers’ marginal costs by charging high commissions. To prevent disintermediation, some platforms adopted price parity and anti-steering provisions, which restrict sellers’ ability to use alternative sales channels. Whether to uphold, reform, or ban these provisions has been at the center of the policy debate, but, so far, little consensus has emerged. As an alternative, this paper studies how to cap platforms’ commissions. The utilitarian cap reflects the Pigouvian precept according to which the platform should charge net fees no greater than the informational externality it exerts on other market

Item Type: Monograph (Working Paper)
Language: English
Date: March 2022
Place of Publication: Toulouse, France
Uncontrolled Keywords: platforms, price parity, regulation, commission caps, extreme value theory
JEL Classification: D83 - Search; Learning; Information and Knowledge; Communication; Belief
L10 - General
L41 - Monopolization; Horizontal Anticompetitive Practices
Divisions: TSE-R (Toulouse)
Institution: Université Toulouse 1 Capitole
Site: UT1
Date Deposited: 29 Mar 2022 09:17
Last Modified: 21 May 2024 11:37
OAI Identifier: oai:tse-fr.eu:126835
URI: https://publications.ut-capitole.fr/id/eprint/45092
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