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strategically set termination fees to induce fragmentation. This takes place when advertising revenues are potentially large but … identify an important link between termination fees, the online advertising market and Internet fragmentation. We extend the … model to account for multi-homing consumers, vertically integrated ISPs, third-party advertising platforms and heterogeneous …
Persistent link: https://www.econbiz.de/10011305392
We conduct an experiment where subjects read online news articles and are shown ads for brands next to those articles. Using eye-tracking technology, we measure the attention that each individual devotes to each article and ad. Then, respondents choose between cash or vouchers for the brands...
Persistent link: https://www.econbiz.de/10012495704
We use a novel dataset of online advertiser performance and product sales to quantify the medium-term economic effects of Apple's App Tracking Transparency Policy (ATT). We find that ATT significantly degraded the ability by Facebook advertisers to target advertisements based on its off-platform...
Persistent link: https://www.econbiz.de/10014468980
We study consumer response towards sponsored search advertising and how to improve advertising performance on a large e … suggest that consumers dislike search advertising in our setting, but quality certificates mitigate this aversion and increase … advertising sales. …
Persistent link: https://www.econbiz.de/10013342873
This paper explores the sale of an object to an ambiguity averse buyer. We show that the seller can increase his profit by using an ambiguous mechanism. That is, the seller can benefit from hiding certain features of the mechanism that he has committed to from the agent. We then characterize the...
Persistent link: https://www.econbiz.de/10010399062
In this paper we use an experiment to compare a theory of risk aversion and a theory of spite as an explanation for overbidding in auctions. As a workhorse we use the second-price all-pay and the first-price winner-pay auction. Both risk and spite can be used to rationalize deviations from risk...
Persistent link: https://www.econbiz.de/10012002983
We study the relation between ad networks, consumer privacy and the online advertising market. We consider two …). We show that tracking may increase or decrease the provision of ads, depending on its effect on expected advertising …
Persistent link: https://www.econbiz.de/10011723426
Digital media goods and digital media platforms exhibit cost structures and network effects that imply that price and quantity effects of consumption taxes are qualitatively different compared to what we typically find for physical goods. For instance, in most European countries and US states,...
Persistent link: https://www.econbiz.de/10011566482
This paper studies the effect of advertising on content differentiation on YouTube, the second-most visited website in … the world. I demonstrate that an exogenous increase in the feasible advertising quantity leads to a considerable decrease …; thus, viewers who perceive advertising as a nuisance – and therefore as an implicit price they have to pay – could easily …
Persistent link: https://www.econbiz.de/10012313777
We study the incentive of an ad-funded social media platform to curb the presence of unsafe content that entails reputational risk to advertisers. We identify conditions for the platform not to moderate unsafe content and demonstrate how the optimal moderation policy depends on the risk the...
Persistent link: https://www.econbiz.de/10014556691