What are the consequences of net neutrality?

Michail Taipov ()
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Michail Taipov: Department of Economics, Lomonosov Moscow State University

No 60, Working Papers from Moscow State University, Faculty of Economics

Abstract: The introduction of net neutrality has a huge impact on the functioning of the Internet service provider market. There are economic articles analyzing the various restrictions arising from the principle of net neutrality and their impact on social welfare. Since the authors in these articles examine different aspects of net neutrality and reach different conclusions, it seems extremely useful to review the major works on this topic and draw general conclusions about the implications of net neutrality for public welfare. This paper analyzed the economic literature exploring the following aspects of network neutrality: the zero-price rule; prohibition on selling suppliers the preferential quality of delivery of their content; the impact of net neutrality on Internet fragmentation. By summarizing the results obtained in these works, conclusions were drawn about the effects of net neutrality.

Keywords: network neutrality; two-sided markets; platforms; public welfare; zero price rule (search for similar items in EconPapers)
JEL-codes: D21 D40 D62 (search for similar items in EconPapers)
Pages: 18 pages
Date: 2023-12
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