| Article ID | Journal | Published Year | Pages | File Type |
|---|---|---|---|---|
| 5078171 | International Journal of Industrial Organization | 2012 | 11 Pages |
Abstract
⺠Firms use tying to subsidize participation in two-sided. ⺠For a monopoly, this raises participation and benefits consumers on both sides. ⺠In a duopoly, tying on one side softens competition on the other side. ⺠It may not be ex-ante optimal while the competing platform may benefit from it. ⺠Tying increases total welfare if network effects are strong.
Related Topics
Social Sciences and Humanities
Economics, Econometrics and Finance
Economics and Econometrics
Authors
Andrea Amelio, Bruno Jullien,