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Privacy and Innovation

In: Innovation Policy and the Economy, Volume 12

  • Avi Goldfarb
  • Catherine Tucker

Executive SummaryInformation and communication technologies now enable firms to collect detailed and potentially intrusive data about their customers both easily and cheaply. Privacy concerns are thus no longer limited to government surveillance and public figures’ private lives. The empirical literature shows that privacy regulation may affect the extent and direction of data-based innovation. We also show that the impacts of privacy regulation can be extremely heterogeneous. We therefore argue that digitization has made privacy policy a part of innovation policy.

(This abstract was borrowed from another version of this item.)

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This chapter was published in:
  • Josh Lerner & Scott Stern, 2012. "Innovation Policy and the Economy, Volume 12," NBER Books, National Bureau of Economic Research, Inc, number lern11-2, June.
  • This item is provided by National Bureau of Economic Research, Inc in its series NBER Chapters with number 12453.
    Handle: RePEc:nbr:nberch:12453
    Contact details of provider: Postal: National Bureau of Economic Research, 1050 Massachusetts Avenue Cambridge, MA 02138, U.S.A.
    Phone: 617-868-3900
    Web page: http://www.nber.org
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    1. Amalia R. Miller & Catherine E. Tucker, 2011. "Encryption and the loss of patient data," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 30(3), pages 534-556, 06.
    2. Avi Goldfarb & Catherine Tucker, 2011. "Online Display Advertising: Targeting and Obtrusiveness," Marketing Science, INFORMS, vol. 30(3), pages 389-404, 05-06.
    3. Avi Goldfarb & Catherine E. Tucker, 2011. "Privacy Regulation and Online Advertising," Management Science, INFORMS, vol. 57(1), pages 57-71, January.
    4. Alessandro Acquisti & Hal R. Varian, 2005. "Conditioning Prices on Purchase History," Marketing Science, INFORMS, vol. 24(3), pages 367-381, May.
    5. Randall Lewis & Justin M. Rao & David H. Reiley, 2013. "Measuring the Effects of Advertising: The Digital Frontier," NBER Working Papers 19520, National Bureau of Economic Research, Inc.
    6. Benjamin Hermalin & Michael Katz, 2006. "Privacy, property rights and efficiency: The economics of privacy as secrecy," Quantitative Marketing and Economics, Springer, vol. 4(3), pages 209-239, September.
    7. Catherine Tucker, 2010. "Social Networks, Personalized Advertising, and Privacy Controls," Working Papers 10-07, NET Institute.
    8. Catherine Tucker & Amalia Miller, 2007. "Privacy Protection and Technology Diffusion: The Case of Electronic Medical Records," Working Papers 07-16, NET Institute, revised Sep 2007.
    9. David S. Evans, 2009. "The Online Advertising Industry: Economics, Evolution, and Privacy," Journal of Economic Perspectives, American Economic Association, vol. 23(3), pages 37-60, Summer.
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