Evans, David S.
The Antitrust Analysis of Multi-Sided Platform Businesses /
David S. Evans, Richard Schmalensee.
- Cambridge, Mass. National Bureau of Economic Research 2013.
- 1 online resource: illustrations (black and white);
- NBER working paper series no. w18783 .
- Working Paper Series (National Bureau of Economic Research) no. w18783. .
February 2013.
This Chapter provides a survey of the economics literature on multi-sided platforms with particular focus on competition policy issues, including market definition, mergers, monopolization, and coordinated behavior. It provides a survey of the general industrial organization theory of multi-sided platforms and then considers various issues concerning the application of antitrust analysis to multi-sided platform businesses. It shows that it is not possible to know whether standard economic models, often relied on for antitrust analysis, apply to multi-sided platforms without explicitly considering the existence of multiple customer groups with interdependent demand. It summarizes many theoretical and empirical papers that demonstrate that a number of results for single-sided firms, which are the focus of much of the applied antitrust economics literature, do not apply directly to multi-sided platforms.
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