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A UNIFIED PRESENTATION OF COMPETITION ANALYSIS IN TWO‐SIDED MARKETS
Author(s) -
Pontual Ribeiro Eduardo,
Golovanova Svetlana
Publication year - 2020
Publication title -
journal of economic surveys
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.657
H-Index - 92
eISSN - 1467-6419
pISSN - 0950-0804
DOI - 10.1111/joes.12362
Subject(s) - competition policy , competition (biology) , economics , database transaction , presentation (obstetrics) , industrial organization , index (typography) , microeconomics , transaction cost , economic analysis , computer science , classical economics , medicine , ecology , radiology , world wide web , programming language , biology , monopoly
The goal of this paper is to present quantitative tools to manage competition policy analysis in two‐sided platforms, based on a common framework for transaction and non‐transaction platforms. We explore tools for relevant market definition [Critical Loss Analysis and a small but significant non‐transitory increase in price (SSNIP) test], unilateral effects indicators [Upward Pricing Pressure (UPP) and Gross Upward Pricing Pressure Index (GUPPI)] and tests for exclusionary practices. We review dispersed results in the literature and fill the gaps where appropriate. We highlight the required changes from the usual one‐sided market framework and tools. While discussions of antitrust tools can be found in specialized forums devoted to advances in competition policy analysis, we organize the material in an integrated framework.