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Fair Gatekeeping in Digital Ecosystems

Author

Listed:
  • Tirole, Jean
  • Bisceglia, Michele

Abstract

Do users receive their fair contribution to digital ecosystems? The frequent accusations of excessive platform fees and self-preferencing leveled at dominant gatekeepers raise the issue of the standard gatekeepers should be held to. The paper provides a framework to explain business strategies and assess regulatory proposals. It stresses the key role played by the zero lower bounds on core and app prices in the setting of privately and socially optimal platform fees. Finally, it derives a simple rule for regulating access conditions and analyses its implementation.

Suggested Citation

  • Tirole, Jean & Bisceglia, Michele, 2023. "Fair Gatekeeping in Digital Ecosystems," TSE Working Papers 1452, Toulouse School of Economics (TSE).
    • Handle: RePEc:tse:wpaper:128185
    as

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    References listed on IDEAS

    as
    1. Laffont, Jean-Jacques & Tirole, Jean, 1994. "Access pricing and competition," European Economic Review, Elsevier, vol. 38(9), pages 1673-1710, December.
    2. Andrei Hagiu & Tat‐How Teh & Julian Wright, 2022. "Should platforms be allowed to sell on their own marketplaces?," RAND Journal of Economics, RAND Corporation, vol. 53(2), pages 297-327, June.
    3. Jay Pil Choi & Doh-Shin Jeon, 2021. "A Leverage Theory of Tying in Two-Sided Markets with Nonnegative Price Constraints," American Economic Journal: Microeconomics, American Economic Association, vol. 13(1), pages 283-337, February.
    4. Rey, Patrick & Tirole, Jean, 2007. "A Primer on Foreclosure," Handbook of Industrial Organization, in: Mark Armstrong & Robert Porter (ed.), Handbook of Industrial Organization, edition 1, volume 3, chapter 33, pages 2145-2220, Elsevier.
    Full references (including those not matched with items on IDEAS)

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    Cited by:

    1. Crémer, Jacques & Biglaiser, Gary & Mantovani, Andrea, 2024. "The Economics of the Cloud," TSE Working Papers 24-1520, Toulouse School of Economics (TSE).
    2. Federico Etro, 2023. "e-Commerce Platforms and Self-preferencing," Working Papers - Economics wp2023_07.rdf, Universita' degli Studi di Firenze, Dipartimento di Scienze per l'Economia e l'Impresa.

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    More about this item

    Keywords

    Platforms; ecosystems; fair access; price and non-price foreclosure; zero lower bounds;
    All these keywords.

    JEL classification:

    • L12 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Monopoly; Monopolization Strategies
    • L4 - Industrial Organization - - Antitrust Issues and Policies

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