Interdependencies between applications
The descriptive analysis of Facebook’s platform for applications in section 3.3.2 showed that application success, with regard to application usage, is highly skewed. Economists are interested in highly concentrated markets because of the inherent risk of welfare loss due to inefficiencies such as the lack of incentives for producers to market products (in this dissertation: Facebook applications) that only few consumers appreciate.
KeywordsSpillover Effect Online Social Network Average Treatment Effect Confidence Band Music Industry
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