Privacy trade-offs in the ride-hailing services

Michał Paliński ()
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Michał Paliński: Faculty of Economic Sciences, University of Warsaw; Digital Economy Lab (DELab UW

No 2021-14, Working Papers from Faculty of Economic Sciences, University of Warsaw

Abstract: We test for users readiness for co-financing ride-hailing service with their personal data applying a Discrete Choice Experiment. We design an experiment in which respondents are asked to choose between hypothetical app-based taxi rides which offered discounts as a compensation for intruding their privacy and a regular service. Our analysis compare how awareness of rights stemming from GDPR affects respondent’s privacy preferences. Cross-group analysis indicate that reminding users about their rights stemming from the GDPR significantly increases their valuation of personal data. The results of WTA analysis suggest that there is a market for "pay with your data" business models.

Keywords: economics of privacy; mobile apps; DCE; mixed logit; WTA (search for similar items in EconPapers)
JEL-codes: C25 D12 L51 (search for similar items in EconPapers)
Pages: 13 pages
Date: 2021
New Economics Papers: this item is included in nep-dcm and nep-pay
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https://www.wne.uw.edu.pl/index.php/download_file/6543/ First version, 2021 (application/pdf)

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Persistent link: https://EconPapers.repec.org/RePEc:war:wpaper:2021-14

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