The Economic Geography of Cyberspace

2018 ◽  
pp. 62-81
Author(s):  
Bruce Rogers
Keyword(s):  
Economic Geography ◽  
Economies Of Scale ◽  
Model Building ◽  
Search Costs ◽  
Online Content ◽  
Web Traffic ◽  
Trade Theory ◽  
Media Preferences ◽  
Face Search ◽  
Simple Economic

This chapter is about building simple economic models of online content production. The style of these models owes much to the so-called “increasing returns revolution” that began in the industrial organization literature, and then found expression in the “new trade theory” and in the “new economic geography” scholarship. The simple web traffic model this chapter shows is built upon the assumption that there are strong economies of scale online, both for content production and advertising revenue; that users have at least modest preferences for diversity; and that it takes time and effort for users to seek out online content—that users face search costs or switching costs in navigating the Web. Aside from model building, this chapter also touches upon several other topics, including online aggregation and the economics of bundling. It then lays out what we know about media preferences, and why larger sites now get more money per visitor than small local producers.

scholarly journals Ersetzt die Neue Ökonomische Geographie Außenwirtschaftstheorie und Raumwirtschaftstheorie?

2011 ◽  
Vol 62 (3) ◽  
Author(s):  
Klaus Schöler
Keyword(s):  
Economic Geography ◽  
Economies Of Scale ◽  
Monopolistic Competition ◽  
Regional Economics ◽  
New Economic Geography ◽  
Traditional Theory ◽  
Transport Costs ◽  
Trade Theory ◽  
Heterogeneous Goods ◽  
The One

SummaryThe New Economic Geography has two advantages in comparison with the traditional Theory of International Trade. On the one hand, the transport costs are included into the respective models. On the other hand, the factor endowment in the regions or countries is not given in the same way as in the traditional Trade Theory, but it is a result of different transport costs. The New Economic Geography has also great advantages in the field of Regional Economics. It is possible to explain the phenomenon of agglomerations by means of a total microeconomic model with economies of scale in one industry, monopolistic competition and heterogeneous goods. The New Economic Geography completes the traditional theories - Trade Theory and Regional Economics - in important aspects, but does not yet replace these approaches.

Ten Pages that Changed the World: Deconstructing Ricardo∗

2009 ◽  
Vol 2 (1) ◽  
pp. 1-33 ◽  
Author(s):  
Richard Peet
Keyword(s):  
Free Trade ◽  
Economic Geography ◽  
Comparative Advantage ◽  
Development Policy ◽  
Open Market ◽  
Trade Theory ◽  
The World ◽  
Neoliberal Development ◽  
Trading Scheme ◽  
Political Economic

Powerful ideas that shape the world become taken-for-granted verities, in two senses of the term: as the only world that is known; and as the only world that can be imagined. When hegemony controls the imagination, fundamental criticism becomes difficult, and perhaps, impossible. Yet what if there were flaws in the original idea, from which new worlds were constructed, that have materialized in a political-economic geography beset with seemingly unsolvable problems? For example, what if there have always been fundamental flaws in the free trade, open market, competitive, global system that dominates both the world as we know it and the conventional political-economic-geographical thought we know it through? This article speculates that a psycho-discursive act of deconstruction might unravel the entire, subsequent discourse. It aims deconstruction at a founding statement in the free trade, global ideal, by looking critically at David Ricardo's theory of comparative advantage. Ricardo's argument that specialization and free trade are universally beneficial, became a founding premise of conventional economic theory and a basic prescription of liberal and neoliberal development policy. The article looks critically: at the logical consistency and representational accuracy of Ricardo's theory, especially the claim that all participants benefit from participation in a free trading scheme, so that trade brings about a far better world. The article reaches two main, critical conclusions: free trade theory based in comparative advantage has, from the beginning, been an ideology for creating economic spaces open to domination by powerful, leading countries; economics and economic geography have, since their classical beginnings, been biased in that their founding statements reverse the reality they pretend accurately to represent.

scholarly journals Wettbewerb im Internet: Was ist online anders als offline?

2011 ◽  
Vol 60 (2) ◽  
Author(s):  
Justus Haucap ◽  
Tobias Wenzel
Keyword(s):  
Market Power ◽  
Network Effects ◽  
Economies Of Scale ◽  
Market Concentration ◽  
The Internet ◽  
General Tendency ◽  
Market Regulation ◽  
Barriers To Entry ◽  
Online Content ◽  
Indirect Network Effects

AbstractThe Internet is characterized by competition between platforms which bring together potential partners of exchange. The degree of competition between these multi-sided platforms und market concentration are determined through (1) the strength of the direct and indirect network effects, (2) the extent of economies of scale, (3) the risk of congestition, (4) platform differentiation, and (5) the possibility of multi-homing. Depending on these factors different market concentrations and barriers to entry result. While there is no general tendency for concentration in the Internet and no general need for special market regulation of online content providers and intermediaries, single platforms may still have long lasting and significant market power which is unlikely to erode fastly, as the example of ebay illustrates.

A Systematic Study of New Age Consumer Engagement and Exploration for Digital Entertainment for Over-the-Top Platforms in Various Digital Media

2021 ◽  
pp. 113-133
Author(s):  
Subhra Mondal
Keyword(s):  
Digital Media ◽  
Systematic Study ◽  
Theoretical Perspective ◽  
New Age ◽  
Online Content ◽  
Web Traffic ◽  
Consumer Engagement ◽  
Digital Entertainment ◽  
Standard Operating ◽  
Over The Top

In this chapter, the accentuation is given on the way that websites are the main impetus for any online content and notice. Here, the author tries to give insight regarding different sites, web over the top platforms, and some very important guidelines for website planning. Likewise, the principles for viable responsive website improvement is discussed about. The accomplishment of the site and holistic success rely upon how successfully web traffic is managed and the simplicity of standard operating procedures. It also aims at providing a broad theoretical perspective on the various applications of consumer engagement and how it differs across different platforms. The analysis and discussion in the second part of the chapter broadly applies the above framework while the concluding part discusses significant digital entertainment formats and options in consumer engagement.

scholarly journals THE EMERGENCE OF GEOGRAPHICAL ECONOMICS: AT THE CONTESTED BOUNDARIES OF ECONOMICS, GEOGRAPHY AND REGIONAL SCIENCE

2020 ◽  
Author(s):  
Jasmeen Rahman ◽  
Robert Dimand
Keyword(s):  
World War Ii ◽  
Economic Geography ◽  
Monopolistic Competition ◽  
Location Theory ◽  
Regional Science ◽  
Trade Theory ◽  
Disciplinary Boundary ◽  
Disciplinary Boundaries ◽  
Boundary Making ◽  
The 1960S

We explore disciplinary boundary-making in geographical economics or “the new economic geography” with attention to the approaches taken by, and attempts at communication between, scholars with primary affiliations in economics, geography and regional science. The Dixit-Stiglitz general equilibrium approach to monopolistic competition and increasing returns was applied to agglomeration and location by Paul Krugman, who had previously pioneered the “new trade theory” building on the Dixit-Stiglitz model, and, independently and slightly earlier, by Masahisa Fujita and his student Heshem Abdel-Rahman starting from regional science, a tradition with its own departments, doctorates, conferences and journals distinct from economics and geography. Economic geography, as studied by geographers, had already taken a quantitative and theoretical turn in the 1960s, reviving an earlier tradition of German location theory overshadowed within geography after World War II by areal differentiation. Another strand of economic geography pursued by geographers was influenced by economic theory, but by non-neoclassical Marxian and Sraffian economics. Debates between these scholars raised questions whether these analyses were multidisciplinary, drawing on distinct disciplines, or crossed disciplinary boundaries (as when geographical economics in the style of economists is undertaken in geography departments) or transcends disciplinary boundaries, or involved the emergence of a new discipline.

Rising Inequality As a Threat to the Liberal International Order

2021 ◽  
pp. 1-29
Author(s):  
Thomas M. Flaherty ◽  
Ronald Rogowski
Keyword(s):  
Thin Layer ◽  
Economic Geography ◽  
Public Support ◽  
Economic Models ◽  
International Order ◽  
Trade Theory ◽  
Distributional Effects ◽  
New Trade Theory ◽  
And Migration ◽  
The Right

Abstract The rise of top-heavy inequality—earnings concentration in a very thin layer of elites—calls into question our understanding of the distributional effects of the Liberal International Order. Far more people lose from globalization, and fewer gain, than traditional economic models suggest. We review three modern trade theories (neo-Heckscher-Ohlin-Stolper-Samuelson or H-O-S-S, new new trade theory, and economic geography) that each arrive at the conclusion of top-heavy inequality by introducing some form of unit heterogeneity—an assumption that the actors we once treated as identical actually differ from one another in important ways. Heterogeneity allows the gains from globalization to concentrate in a narrow segment of workers with superlative talents, extraordinarily productive firms, or heavily agglomerated cities. An analysis of European voting data shows that shocks from trade and migration elicit populist opposition only where the top 1 percent have gained the most. With few politically feasible alternatives to protectionism, most notably the failure of democracies to redistribute income, our analysis predicts a persistence of public support for antiglobalization parties, especially those on the Right.

scholarly journals THE EMERGENCE OF GEOGRAPHICAL ECONOMICS: AT THE CONTESTED BOUNDARIES OF ECONOMICS, GEOGRAPHY, AND REGIONAL SCIENCE

2021 ◽  
Vol 43 (2) ◽  
pp. 241-261
Author(s):  
Jasmeen Rahman ◽  
Robert W. Dimand
Keyword(s):  
World War Ii ◽  
Economic Geography ◽  
Monopolistic Competition ◽  
Location Theory ◽  
Regional Science ◽  
Trade Theory ◽  
Disciplinary Boundary ◽  
Disciplinary Boundaries ◽  
Boundary Making ◽  
The 1960S

We explore disciplinary boundary-making in geographical economics or “the new economic geography” with attention to the approaches taken by, and attempts at communication among, scholars with primary affiliations in economics, geography, and regional science. The Dixit-Stiglitz general equilibrium approach to monopolistic competition and increasing returns was applied to agglomeration and location by Paul Krugman, who had previously pioneered the “new trade theory” building on the Dixit-Stiglitz model, and, independently and slightly earlier, by Masahisa Fujita and his student Heshem Abdel-Rahman, starting from regional science, a tradition with its own departments, doctorates, conferences, and journals distinct from economics and geography. Economic geography, as studied by geographers, had already taken a quantitative and theoretical turn in the 1960s, reviving an earlier tradition of German location theory overshadowed within geography after World War II by areal differentiation. Another strand of economic geography pursued by geographers was influenced by economic theory but by non-neoclassical Marxian and Sraffian economics. Debates between these scholars raised questions whether these analyses were multidisciplinary, drawing on distinct disciplines, or crossed disciplinary boundaries (as when geographical economics in the style of economists is undertaken in geography departments) or transcends disciplinary boundaries, or involved the emergence of a new discipline.

scholarly journals From New Trade Theory to New Economic Geography: A Space Odyssey

OEconomia ◽  
2012 ◽  
Vol 2012 (01) ◽  
pp. 35-66 ◽  
Author(s):  
Dirk Ehnts ◽  
Hans-Michael Trautwein
Keyword(s):  
Economic Geography ◽  
New Economic Geography ◽  
Trade Theory ◽  
New Trade Theory
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