Inframarginal Versus Marginal Analysis of Networking Decisions and E-Commerce

Yew-Kwang Ng ()

Chapter 2 in The Economics of E-Commerce and Networking Decisions, 2003, pp 11-23 from Palgrave Macmillan

Abstract: Abstract Many participants in this year’s International Symposium of the Economics of e-Commerce and Networking Decisions may ask: what is the economics of e-commerce and networking decisions? After having had a look at the preliminary programme of the symposium, you may wonder what is meant by ‘inframarginal analysis’ and what is the relationship between inframarginal analysis and e-commerce? Some participants may think that this is a strange combination of two separate and distinct fields: one is a very business-oriented discussion about e-commerce in the real world and the other, a very academic economic analysis of networking decisions. Some may even think of this as a gimmick to sell boring economic theory by bundling it with the e-commerce stuff, which is of interest to many business economists. This speech addresses this concern and provides motivation for this symposium.

Keywords: Transaction Cost; Network Effect; Monopoly Power; Petrol Station; Coordination Failure (search for similar items in EconPapers)
Date: 2003
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Persistent link: https://EconPapers.repec.org/RePEc:pal:palchp:978-1-4039-3837-4_2

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DOI: 10.1057/9781403938374_2

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