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Essays in Economics of Digitization ...

Li, Muxin.

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Essays in Economics of Digitization and Social Networks.

Record Type:	Electronic resources : Monograph/item
Title/Author:	Essays in Economics of Digitization and Social Networks./
Author:	Li, Muxin.
Published:	Ann Arbor : ProQuest Dissertations & Theses, : 2019,
Description:	100 p.
Notes:	Source: Dissertations Abstracts International, Volume: 80-12, Section: A.
Contained By:	Dissertations Abstracts International80-12A.
Subject:	Economics. -
Online resource:	http://pqdd.sinica.edu.tw/twdaoapp/servlet/advanced?query=13863892
ISBN:	9781392153482

Essays in Economics of Digitization and Social Networks.
Li, Muxin.

Essays in Economics of Digitization and Social Networks. - Ann Arbor : ProQuest Dissertations & Theses, 2019 - 100 p.

Source: Dissertations Abstracts International, Volume: 80-12, Section: A.

Thesis (Ph.D.)--Indiana University, 2019.

This item must not be added to any third party search indexes.

This dissertation consists in three chapters. The overall topic of the dissertation is economics of network industries and social networks. In the first and second chapters, I focus on the economics of digitization and platform design. In the first chapter, I endogenize the intermediary's search design by allowing it to determine its consumers' search cost. I study how product diversity affects the intermediary's search design strategy in the two polar business modes: the two-sided platform business mode and the merchant business mode. I find that the effect of product diversity on the intermediary's equilibrium search design is not monotonic and its influence on the market outcomes depends on the intermediary's business mode. In the second chapter, I study how the introduction of a search cost reducing technology influences the market outcomes in a two-sided platform. This study is motivated by current popular machine learning technologies like Amazon Alexa that reduce the difficulties consumers incur in the shopping process. In this chapter, I investigate the tradeoff faced by consumers and how does this new shopping method influence the two-sided market. In the last chapter, I study the predictive power of peer behavior on individual behavior in a social network. In the model, I distinguish between individuals who are directly connected to other individuals (socially cohesive peers) and individuals who are not directly connected to others but that occupy the same relative position in the social network. Past literature shows that peers who are not directly connected may exert stronger influence than peers who are directly connected. I examined possible social mechanisms that lie underneath them. Through a case study of peer effects on adolescent smoking, we find that the structurally equivalent peer effect is more sensitive to potential homophily than the socially cohesive peer effect.

ISBN: 9781392153482Subjects--Topical Terms:

517137
Economics.

Essays in Economics of Digitization and Social Networks.
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506 $a This item must not be added to any third party search indexes.
506 $a This item must not be sold to any third party vendors.
520 $a This dissertation consists in three chapters. The overall topic of the dissertation is economics of network industries and social networks. In the first and second chapters, I focus on the economics of digitization and platform design. In the first chapter, I endogenize the intermediary's search design by allowing it to determine its consumers' search cost. I study how product diversity affects the intermediary's search design strategy in the two polar business modes: the two-sided platform business mode and the merchant business mode. I find that the effect of product diversity on the intermediary's equilibrium search design is not monotonic and its influence on the market outcomes depends on the intermediary's business mode. In the second chapter, I study how the introduction of a search cost reducing technology influences the market outcomes in a two-sided platform. This study is motivated by current popular machine learning technologies like Amazon Alexa that reduce the difficulties consumers incur in the shopping process. In this chapter, I investigate the tradeoff faced by consumers and how does this new shopping method influence the two-sided market. In the last chapter, I study the predictive power of peer behavior on individual behavior in a social network. In the model, I distinguish between individuals who are directly connected to other individuals (socially cohesive peers) and individuals who are not directly connected to others but that occupy the same relative position in the social network. Past literature shows that peers who are not directly connected may exert stronger influence than peers who are directly connected. I examined possible social mechanisms that lie underneath them. Through a case study of peer effects on adolescent smoking, we find that the structurally equivalent peer effect is more sensitive to potential homophily than the socially cohesive peer effect.
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