The goal of this paper is to analyze the behavior of digital music consumers on the Internet. Using clickstream data on a panel of more than 16,000 European consumers, we estimate the effects of illegal downloading and legal streaming on the legal purchases of digital music. Our results suggest...

The Internet has become an integral part of the everyday life of households, firms and governments. Its proper functioning over the long run is therefore crucial for economic growth and people’s wellbeing more generally. The success of the Internet depends on its openness and the confidence of...

It is often assumed that consumers benefit from the internet because it offers a "long tail" with more variety of products to choose from. However, search costs may block the long tail effect and result in the dominance of superstars. This paper examines the variety hypothesis in the entire...

Taking down copyright-infringing websites is a way to reduce consumption of pirated media content and increase licensed consumption. We analyze the consequences of the shutdown of the most popular German video streaming website - kino.to - in June 2011. Using individual-level clickstream data,...

We explore the consequence of quality unpredictability for the welfare benefit of new products, using recent developments in recorded music as our context. Digitization has expanded consumption opportunities by giving consumers access to the "long tail" of existing products, rather than simply...

Streaming music services have exploded in popularity in the past few years, variously raising optimism and concern about their impacts on recorded music revenue. On the one hand, streaming services allow sellers to engage in bundling with the promise of increasing revenues, profits, and consumer...

Interactive music streaming services have grown tremendously in recent years, raising questions about their effects on digital music sales and piracy. While often overlooked in practice, theoretical considerations suggest that these effects may differ according to the streaming services'...

Digitization has vastly increased the amount of new music produced and, because of streaming, has raised the number of songs available directly to consumers. While enhanced availability has levelled the playing field between already-prominent and new artists, creators may now be highly dependent...

This paper examines the digital divide in internet use in general and whether there may be digital divides in internet use for specific purposes (leisure, improving human capital and obtaining goods and services). It uses a unique dataset which covers the entire clickstream of almost 20,000...

This paper examines whether ICT substitute labour and reduce the demand for labour. We used firm-level comparable data separately for firms in manufacturing, services and ICT-producing sectors from seven European countries. We adopted a common methodology and applied it to a unique dataset...