nep-ict New Economics Papers
on Information and Communication Technologies
Issue of 2008‒04‒29
four papers chosen by
Walter Frisch
University Vienna

  1. Net Neutrality on the Internet: A Two-sided Market Analysis By Economides , Nicholas; Tåg, Joacim
  2. Using R, LaTeX and Wiki for an Arabic e-learning platform By Taleb Ahmad; Wolfgang Härdle; Sigbert Klinke; Shafeeqah Al Awadhi
  3. The Diffusion of Internet: A Cross-Country Analysis By Cuberes, David
  4. Microstructure of Collaboration: The 'Social Network' of Open Source Software By Fershtman, Chaim; Gandal, Neil

  1. By: Economides , Nicholas (Stern School of Business); Tåg, Joacim (Research Institute of Industrial Economics (IFN))
    Abstract: We discuss the benefits of net neutrality regulation in the context of a two-sided market model in which platforms sell Internet access services to consumers and may set fees to content and applications providers "on the other side" of the Internet. When access is monopolized, we find that generally net neutrality regulation (that imposes zero fees "on the other side" of the market) increases total industry surplus compared to the fully private optimum at which the monopoly platform imposes positive fees on content and applications providers. Similarly, we find that imposing net neutrality in duopoly increases total surplus compared to duopoly competition between platforms that charge positive fees on content providers. We also discuss the incentives of duopolists to collude in setting the fees "on the other side" of the Internet while competing for Internet access customers. Additionally, we discuss how price and non-price discrimination strategies may be used once net neutrality is abolished. Finally, we discuss how the results generalize to other two-sided markets.
    Keywords: Net Neutrality; Two-sided Markets; Internet; Monopoly; Duopoly; Regulation; Discrimination
    JEL: C63 D40 D42 D43 L10 L12 L13
    Date: 2008–01–15
    URL: http://d.repec.org/n?u=RePEc:hhs:iuiwop:0727&r=ict
  2. By: Taleb Ahmad; Wolfgang Härdle; Sigbert Klinke; Shafeeqah Al Awadhi
    Abstract: E-learning plays an important role in education as it supports online education via computer networks and provides educational services by utilising information technologies. We present a case study describing the development of an Arabic language elearning course in statistics. Discussed are issues concerning e-learning in Arab countries with special focus on problems of the application of e-learning in the Arab world and the difficulties concerning the design Arabic platforms such as language problems, cultural and technical problems, especially ArabTeX works difficulty with LaTeX format. Thus Wiki is offered as a solution to such problems. Wiki supports LaTeX and other statistical programs, for instance R, andWiki offers the solution to language problems. Details of this technology are discussed and a solution as to how this system can serve in building an Arab platform is presented.
    Keywords: E-learning, MM*Stat, Wiki, ArabTeX, Statistical software
    JEL: I21 C19
    Date: 2008–04
    URL: http://d.repec.org/n?u=RePEc:hum:wpaper:sfb649dp2008-030&r=ict
  3. By: Cuberes, David
    Abstract: This paper analyzes the process of Internet diffusion across the world using a panel of 199 countries during the time interval 1990-2004. We group countries in two categories, low and high income countries, and show that the Internet diffusion process is well characterized by an S-shape curve for both groups. Low income countries display a steeper diffusion curve and equivalent to a right shift of the high income countries diffusion curve. The estimated diffusion curves provide evidence of a “catching up” process, although a very slow one. We next explore the determinants of Internet diffusion at the country level and across the same income groups. Our most novel finding is that network effects seem to be crucial—the number of Internet users in a country at a given year is positively associated with the number of users in the previous year. We also find that the degree of competition in the provision of Internet contributes positively to its diffusion and we also identify significant positive language externalities.
    Keywords: Technological diffusion; Internet; S-shape curve; Network externalities; Digital divide
    JEL: O57 O33 O14
    Date: 2008–03–15
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:8433&r=ict
  4. By: Fershtman, Chaim; Gandal, Neil
    Abstract: The open source model is a form of software development with source code that is typically made available to all interested parties. At the core of this process is a decentralized production process: open source software development is done by a network of unpaid software developers. Using data from Sourceforge.net, the largest repository of Open Source Software (OSS) projects and contributors on the Internet, we construct two related networks: A Project network and a Contributor network. Knowledge spillovers may be closely related to the structure of such networks, since contributors who work on several projects likely exchange information and knowledge. Defining the number of downloads as output we finds that (i) additional contributors are associated with an increase in output, but that additional contributors to projects in the giant component are associated with greater output gains than additional contributors to projects outside of the giant component; (ii) Betweenness centrality of the project is positively associated with the number of downloads. (iii) Closeness centrality of the project appears also to be positively associated with downloads, but the effect is not statistically significant over all specifications. (iv) Controlling for the correlation between these two measures of centrality (betweenness and closeness), the degree is not positively associated with the number of downloads. (v) The average closeness centrality of the contributors that participated in a project is positively correlated with the success of the project. These results suggest that there are positive spillovers of knowledge for projects occupying critical junctures in the information flow. When we define projects as connected if and only if they had at least two contributors in common, we again find that additional contributors are associated with an increase in output, and again find that this increase is much higher for projects with strong ties than other projects in the giant component.
    Keywords: Microstructure of Collaboration; network; open source
    JEL: L17
    Date: 2008–04
    URL: http://d.repec.org/n?u=RePEc:cpr:ceprdp:6789&r=ict

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