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We investigate the design of incentives for public good quality provision in a dynamic regulation setting in which … of information can lead to over-provision of quality under optimal regulation, reflecting a dynamic rent extraction …
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. Results indicate: (1) Strict regulation on live streamers can be a dominant strategy for the platform if more consumers … interact with live streamers. Low marginal costs for regulation do not necessarily induce the platform to regulate live … streamers attractive, the separating equilibrium requires strict regulation. Our paper contributes to LSC and signaling theory …
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