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Platforms often use fee discrimination within their marketplace (e.g., Amazon, eBay, and Uber specify a variety of merchant fees). To better understand the impact of marketplace fee discrimination, we develop a model that allows us to determine equilibrium fee and category decisions that depend...
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We compare a discriminatory pricing regime with a non-discriminatory regime in a competitive bottleneck model where …-homers increases in the non-discriminatory case, while they stay constant in the discriminatory pricing regime. A discriminatory … pricing regime leads to higher platform profits than the non-discriminatory regime when the share of single-homers are …
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An increasingly common practice among media platforms is to provide premium content versions with fewer or even no ads. This practice leads to an intriguing question: how should ad-financed media price discriminate through versioning? I develop a two-sided media model and illustrate that price...
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