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The Effect of Network Neutrality on the Incentive to Discriminate, Invest and Innovate: A Literature Review


  • Daeho Lee

    () (The School of Information Sciences, University of Pittshurgh)

  • Junseok Hwang

    () (College of Engineering, Seoul National University)


With the development of the Internet and the significant impact it is having, network neutrality regulation has been receiving much attention. An analysis of the relevant literature suggests that the proponents and opponents of network neutrality disagree on the methods of developing the Internet. Therefore, it is important to review the literature on this issue for both future research and regulatory and practitioners’ references. This paper categorizes network neutrality issues and organizes the relevant literature accordingly. In addition, it addresses why the network neutrality problem is so difficult to solve and what further study is required to solve it.

Suggested Citation

  • Daeho Lee & Junseok Hwang, 2011. "The Effect of Network Neutrality on the Incentive to Discriminate, Invest and Innovate: A Literature Review," TEMEP Discussion Papers 201184, Seoul National University; Technology Management, Economics, and Policy Program (TEMEP), revised Nov 2011.
  • Handle: RePEc:snv:dp2009:201184

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    References listed on IDEAS

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    22. Hermalin, Benjamin E. & Katz, Michael L., 2007. "The economics of product-line restrictions with an application to the network neutrality debate," Information Economics and Policy, Elsevier, vol. 19(2), pages 215-248, June.
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    More about this item


    Network neutrality; government regulation; innovation; investment; discrimination; vertical integration.;

    JEL classification:

    • D4 - Microeconomics - - Market Structure, Pricing, and Design
    • L1 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance
    • L5 - Industrial Organization - - Regulation and Industrial Policy


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