A Leverage Theory of Tying in Two-Sided Markets with Nonnegative Price Constraints

• 成果类型: Article
• 署名作者: Choi, Jay Pil; Jeon, Doh-Shin
• 署名单位: Michigan State University; Yonsei University; Universite de Toulouse; Universite Toulouse 1 Capitole; Toulouse School of Economics
• 刊物名称: AMERICAN ECONOMIC JOURNAL-MICROECONOMICS
• ISSN/ISSBN: 1945-7669
• DOI: 10.1257/mic.20180234
• 发表日期: 2021
• 页码: 283-337
• 关键词: competition; ANTITRUST; monopoly; POWER

摘要

Motivated by recent antitrust cases in markets with zero-pricing, we develop a leverage theory of tying in two-sided markets. In the presence of the nonnegative price constraint, the Chicago school critique of tie-ins fails to hold. In the independent products case, tying provides a mechanism to circumvent the constraint in the tied market without inviting aggressive responses by the rival firm. In the complementary products case, the price squeeze mechanism cannot be used to extract surplus from the more efficient rival firm without tying. We identify conditions under which tying in two-sided markets is profitable and explore its welfare implications.