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Platform Traps

By Andrei Hagiu and Julian Wright

Journal: Microeconomics

A novel feature of platforms such as marketplaces and social networks is that nonparticipants may become worse off as others join. We show that in such settings, rational agents can be induced to join a platform despite being better off without it—a p...

Myths, Morals, and Movies

By Stelios Michalopoulos and Christopher Rauh

Review

Why are certain movies more successful in some markets than others? Are the entertainment products we consume reflective of our core beliefs? To answer these questions, we analyze international movie data and local tales using machine learning to measu...