We analyze how network effects affect competition in the nascent cryptocurrency market. We do so by examining early dynamics of exchange rates among different cryptocurrencies. While Bitcoin eventually dominates this market, our data suggest no evidence of a winner-take-all effect early in the...

Modern software development involves collaborative efforts and re-use of existing software packages and libraries, to reduce the cost of developing new software. However, package dependencies expose developers to the risk of contagion from bugs or other vulnerabilities. We study the formation of...

This paper discusses the design, implementation and use of standards from the perspective of transaction costs economics. A proper design and implementation of standards may lead to a considerable reduction of transaction costs, which enhances trade and, consequently, economic welfare. A major...

This paper discusses the design, implementation and use of standards from the perspective of transaction costs economics. A proper design and implementation of standards may lead to a considerable reduction of transaction costs, which enhances trade and, consequently, economic welfare. A major...

We study incentives to invest in platform quality in open-source and proprietary two-sided platforms. Open platforms have open access, and developers invest to improve the platform. Proprietary platforms have closed access, and investment is done by the platform owner. We present five main...

The present study analyzes how can positive network externalities in the form of network effects exert significant influence over the characterization of ‘market access’ in the context of high-technology markets. Throughout the last two decades there has been a vast body of literature...

The phenomenal rise of the platform economy has reshaped how economies operate across the world. The importance of digital platforms has never been more evident than in combatting the ongoing corona virus (Covid-19) pandemic. Even with the threat of a global recession looming large, technology...

In the beginning of the 1990’s, various fragmented information networks of the Internet were combined into one integrated network of systems. As a result, the commercial utilization of the Internet boomed, creating completely new business models and economic structures in the process. A...

At the beginning of the 1990s, the Internet’s various fragmented information networks were combined into one integrated network of systems. As a result, the commercial utilization of the Internet boomed, creating com- pletely new business models and economic structures in the process. A...

The majority of digital platform research has focused on consumer-centric platforms. Driven by the vast growth potential of direct consumer market access, industrial communities locked behind the conventional gatekeepers in their respective value chains have lately started to tinker with their...