A UNIFIED PRESENTATION OF COMPETITION ANALYSIS IN TWO‐SIDED MARKETS

Eduardo Ribeiro and Svetlana Golovanova

Journal of Economic Surveys, 2020, vol. 34, issue 3, 548-571

Abstract: The goal of this paper is to present quantitative tools to manage competition policy analysis in two‐sided platforms, based on a common framework for transaction and non‐transaction platforms. We explore tools for relevant market definition [Critical Loss Analysis and a small but significant non‐transitory increase in price (SSNIP) test], unilateral effects indicators [Upward Pricing Pressure (UPP) and Gross Upward Pricing Pressure Index (GUPPI)] and tests for exclusionary practices. We review dispersed results in the literature and fill the gaps where appropriate. We highlight the required changes from the usual one‐sided market framework and tools. While discussions of antitrust tools can be found in specialized forums devoted to advances in competition policy analysis, we organize the material in an integrated framework.

Date: 2020
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