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The Oxford Handbook of the Digital Economy


  • Peitz, Martin

    (University of Mannheim)

  • Waldfogel, Joel

    (Carlson School of Management, University of Minnesota)


The economic analysis of the digital economy has been a rapidly developing research area for more than a decade. Through authoritative examination by leading scholars, this Handbook takes a closer look at particular industries, business practices, and policy issues associated with the digital industry. The volume offers an up-to-date account of key topics, discusses open questions, and provides guidance for future research. It offers a blend of theoretical and empirical works that are central to understanding the digital economy. The chapters are presented in four sections, corresponding with four broad themes: 1) infrastructure, standards, and platforms; 2) the transformation of selling, encompassing both the transformation of traditional selling and new, widespread application of tools such as auctions; 3) user-generated content; and 4) threats in the new digital environment. The first section covers infrastructure, standards, and various platform industries that rely heavily on recent developments in electronic data storage and transmission, including software, video games, payment systems, mobile telecommunications, and B2B commerce. The second section takes account of the reduced costs of online retailing that threatens offline retailers, widespread availability of information as it affects pricing and advertising, digital technology as it allows the widespread employment of novel price and non-price strategies (bundling, price discrimination), and auctions, as well as better tar. The third section addresses the emergent phenomenon of user-generated content on the Internet, including the functioning of social networks and open source. Finally, the fourth section discusses threats arising from digitization and the Internet, namely digital piracy, privacy and internet security concerns. Available in OSO: Contributors to this volume - Shane Greenstein is the Elinor and H. Wendell Hobbs Professor of Management and Strategy at the Kellogg School of Management at Northwestern University. Joseph Farrell is Professor of Economics at the University of California, Berkeley. Tim Simcoe is Andrei Hagiu is Assistant Professor of Strategy at the Harvard Business School. Robin Lee is Assistant Professor of Economics at the Stern School of Business at New York University. Wilko Bolt is an economist at the Economics and Research Division of De Nederlandsche Bank. Sujit "Bob" Chakravorti is the Chief Economist and Director of Quantitative Analysis at The Clearing House. Steffen Hoernig is Associate Professor at the Faculdade de Economiaof the Universidade Nova de Lisboa. Tommaso Valletti is Professor of Economics at the Business School at Imperial College, London. Bruno Jullien is a Member of the Toulouse School of Economics at Research Director at CNRS Ethan Lieber is a PhD student in the Economics Department at the University of Chicago. Chad Syverson is Professor of Economics at the University of Chicago Booth School of Business. Jose-Luis Moraga is Professor of Economics at the University of Groningen. Matthijs R. Wildenbeest is Assistant Professor of Business Economics and Public Policy DT Kelley School of Business, Indiana University. Drew Fudenberg is the Frederick E. Abbe Professor of Economics at Harvard University. J. Miguel Villas-Boas is Professor of Marketing at the University of California, Berkeley. Jay Pil Choi is Scientia Professor in the School of Economics within the Australian School of Business at the University of New South Wales. Ben Greiner is Lecturer at the University of New South Wales, School of Economics. Axel Ockenfels is Professor of political economics at the University of Cologne. Abdolkarim Sadrieh is Professor of Economics and Management at the University of Magdeburg. Luis Cabral is Professor of Economics and Academic Director (New York Center), IESE Business School, University of Navarra and W.R. Berkley Term Professor of Economics at the Stern School of Business, New York University. Simon Anderson is Commonwealth Professor of Economics at the University of Virginia. Lian Jian is Assistant Professor of Communication and Journalism at the USC Annenberg School. Jeff MacKie Mason is the Dean of the School of Information at the University of Michigan. Sanjeev Goyal is Professor of Economics at the University of Cambridge. Justin Johnson is Associate Professor of Economics at the Johnson Graduate School of Management at Cornell University. Paul Belleflamme is Professor of Economics at Universite catholique de Louvain. Martin Peitz is Professor of Economics at the University of Mannheim. Joel Waldfogel is the Frederick R. Kappel Chair in Applied Economics at the Carlson School of Management at the University of Minnesota and a Research Associate of the National Bureau of Economic Research. Alessandro Acquisti is Associate Professor of Information Technology and Public Policy at the Heinz College at Carnegie Mellon University. Ross Anderson is Professor in Security Engineering at the University of Cambridge Computer Laboratory. Tyler Moore is a postdoctoral fellow at the Center for Research on Computation and Society (CRCS) at Harvard University.

Suggested Citation

  • Peitz, Martin & Waldfogel, Joel, 2012. "The Oxford Handbook of the Digital Economy," OUP Catalogue, Oxford University Press, number 9780195397840.
  • Handle: RePEc:oxp:obooks:9780195397840

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    References listed on IDEAS

    1. Stephanie Rosenkranz & Patrick W. Schmitz, 2007. "Reserve Prices in Auctions as Reference Points," Economic Journal, Royal Economic Society, vol. 117(520), pages 637-653, April.
    2. Raviv, Yaron & Virag, Gabor, 2009. "Gambling by auctions," International Journal of Industrial Organization, Elsevier, vol. 27(3), pages 369-378, May.
    3. Samuelson, William F., 1985. "Competitive bidding with entry costs," Economics Letters, Elsevier, vol. 17(1-2), pages 53-57.
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    Cited by:

    1. Maggie X. Chen & Min Wu, 2016. "The Value of Reputation in Trade: Evidence from Alibaba," Working Papers 2016-20, The George Washington University, Institute for International Economic Policy.
    2. Thomas Le Texier & Mourad Zeroukhi, 2015. "How Can Proprietary Software Firms Take Advantage Over Open Source Communities? Another Story of Pro?fitable Piracy," Economics Working Paper Archive (University of Rennes 1 & University of Caen) 201503, Center for Research in Economics and Management (CREM), University of Rennes 1, University of Caen and CNRS.
    3. Kresimir Zigic & Jiri Strelicky & Michael Kunin, 2014. "How Does Public IPR Protection Affect its Private Counterpart? Copyright and the Firms' Own IPR Protection in a Software Duopoly," CERGE-EI Working Papers wp518, The Center for Economic Research and Graduate Education - Economics Institute, Prague.
    4. Gary Bolton & Ben Greiner & Axel Ockenfels, 2013. "Engineering Trust: Reciprocity in the Production of Reputation Information," Management Science, INFORMS, vol. 59(2), pages 265-285, January.
    5. Johannes M. Bauer & Michael Latzer, 2016. "The economics of the Internet: an overview," Chapters,in: Handbook on the Economics of the Internet, chapter 1, pages 3-20 Edward Elgar Publishing.
    6. Kresimir Zigic & Jiri Strelicky & Michael Kunin, 2013. "The Interaction between Private and Public IPR Protection in a Software Market: A Positive and Normative Analysis," CERGE-EI Working Papers wp490, The Center for Economic Research and Graduate Education - Economics Institute, Prague.
    7. Romeu, Andrés & Martinez-Sanchez, Francisco, 2015. "Technological Development and Software Piracy," UMUFAE Economics Working Papers 43702, DIGITUM. Universidad de Murcia.
    8. Stefan Buehler & Daniel Halbheer & Michael Lechner, 2017. "Payment Evasion," Journal of Industrial Economics, Wiley Blackwell, vol. 65(4), pages 804-832, December.
    9. Budzinski, Oliver & Monostori, Katalin, 2012. "Intellectual property rights and the WTO," Ilmenau Economics Discussion Papers 71, Ilmenau University of Technology, Institute of Economics.
    10. Bourreau, Marc & Doğan, Pınar, 2018. "Gains from digitization: Evidence from gift-giving in music," Journal of Economic Behavior & Organization, Elsevier, vol. 149(C), pages 106-122.
    11. Belleflamme,Paul & Peitz,Martin, 2015. "Industrial Organization," Cambridge Books, Cambridge University Press, number 9781107687899, December.
    12. Sanjeev Goyal & Stephanie Rosenkranz & Utz Weitzel & Vincent Buskens, 2017. "Information Acquisition and Exchange in Social Networks," Economic Journal, Royal Economic Society, vol. 127(606), pages 2302-2331, November.
    13. Sanjeev Goyal & Stephanie Rosenkranz & Utz Weitzel & Vincent Buskens, 2014. "Individual Search and Social Networks," Working Papers 2014.49, Fondazione Eni Enrico Mattei.
    14. Andre Boik & Shane Greenstein & Jeffrey Prince, 2016. "The Empirical Economics of Online Attention," NBER Working Papers 22427, National Bureau of Economic Research, Inc.
    15. repec:zbw:ifweej:20188 is not listed on IDEAS
    16. Hong Luo & Julie Holland Mortimer, 2018. "Infringing Use as a Path to Legal Consumption: Evidence from a Field Experiment," Boston College Working Papers in Economics 971, Boston College Department of Economics.
    17. BELLEFLAMME, Paul & PEITZ, Martin, 2014. "Digital piracy: an update," CORE Discussion Papers 2014019, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).

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