nep-ict New Economics Papers
on Information and Communication Technologies
Issue of 2016‒11‒13
three papers chosen by
Walter Frisch
Universität Wien

  1. Price discrimination of ott providers under duopolistic competition and multi-dimmesional product differentiation in retail broadband access By José Marino García García; Aurelia Valiño Castro; A. Jesús Sánchez Fuentes
  2. Towards a privacy framework for India in the age of the internet. By Bhandari, Vrinda; Sane, Renuka
  3. Determinants of ICT infrastructure: A cross-country statistical analysis By Krüger, Jens J.; Rhiel, Mathias

  1. By: José Marino García García; Aurelia Valiño Castro; A. Jesús Sánchez Fuentes
    Abstract: Network neutrality regulation prevents price discrimination from Access Providers to Content Providers and product differentiation in terms of connection quality in the retail broadband access market. This paper analyzes the economic implications of price discrimination under duopolistic competition and multi-dimensional product differentiation in retail internet access using a sequential-moves game theoretic model. Under this framework, we discuss the impact of product differentiation and price discrimination on social welfare, and offer systematic simulations using feasible ranges for parameters value to help discern the impact of departing from network neutrality regulation on social welfare.
    Keywords: network neutrality, two sided markets, price discrimination, product differentiation, queuing theory, network congestion, duopoly, competition policy.
    JEL: C70 D43 L10 L13 L51 L86 L96
    Date: 2016–11
  2. By: Bhandari, Vrinda; Sane, Renuka (Indian Statistical Institute)
    Abstract: Over the last decade, there have been vast improvements in surveillance technology and the availability, storage, and mining of personal information online, supported by developments in big data analytics. This has created a public policy conundrum over balancing the benefits of big data with the threat to the right to privacy. In an environment of pervasive surveillance and intrusive technology, there is a need for improved protection of privacy rights through a mixture of legislation and regulation, and building public awareness and demand for safeguards. This paper makes a case for the need for privacy from both the State and the private sector; examines the jurisprudential development of the right to privacy in India, and lays down privacy principles, that will underlie any proposed privacy law. It then evaluates the Indian IT Act, and the recently legislated Aadhaar Act, against the proposed privacy principles.
    Keywords: Privacy ; big data ; India
    JEL: H10 L86
    Date: 2016–11
  3. By: Krüger, Jens J.; Rhiel, Mathias
    Abstract: We investigate economic and institutional determinants of ICT infrastructure for a broad cross section ofmore than 100 countries. The ICT variable is constructed from a principal components analysis. The explanatory variables are selected by variants of the Lasso estimator from the machine learning literature.In addition to least squares, we also apply robust and semiparametric regression estimators. The results show that the regressions are able to explain ICT infrastructure very well. Major determinants identified are real income per capita, the availability of electricity, the extent of urbanization and indicators for the quality of the institutional environment. We also find evidence of conditional convergence of the ICT infrastructure across countries.
    Keywords: determinants of ICT infrastructure,global digital divide,variable selection,machine learning,robust and semiparametric regression
    JEL: O11 O33 L96 C52 C14
    Date: 2016

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