News and Events

TILT seminar by Jens Prüfer

Topic: "Competing with Big Data"

Bio:

Jens Prüfer is an economist at Tilburg University’s Department of Economics and a member of the Tilburg Law and Economics Center (TILEC). His research focuses on institutional and organizational questions, applying economic methodology to a broad set of disciplines, including law, management, political science, history, religious studies, and computer science. He studied Economics and Chinese studies in Tübingen (Germany) and Singapore and holds a PhD in Economics from Goethe University Frankfurt. Read more here.

Abstract:

We study competition in data-driven markets, where the cost of quality production decreases in the amount of machine-generated data about user preferences or characteristics. This gives rise to data-driven indirect network effects. We construct a dynamic model of R&D competition, where duopolists repeatedly determine innovation investments. Such markets tip under very mild conditions, moving towards monopoly. After tipping, innovation incentives both for the dominant firm and for competitors are small. We show when a dominant firm can leverage its dominance to a connected market, thereby initiating a domino effect. Market tipping can be avoided if competitors share their user information. Read more here.

Location: M 1003, Montesquieu Building

Registration: is free, please send an e-mail to: g.vdnmaagdenberg@tilburguniversity.edu

When: 20 March 2018 12:00

End date: 20 March 2018 13:30