The aim of this paper is to evaluate, from an economic perspective, the efficiency of Web 2.0. It demonstrates that, because of the non‐monetary nature of Web 2.0, several sources of inefficiencies (search costs, externalities, crowding out and adverse selection) exist. Nonetheless, the economic nature of digital products and the expected low value of most online content make it impossible to adopt a simple market scheme for Web 2.0. In contrast, this paper introduces a concept of demand‐driven Web 2.0 (as opposed to the current Web 2.0, which is supply‐driven) that is expected to provide stronger incentives, through financial reward, for high quality content within a Web 2.0 environment.
PAGES
267 – 285
DOI
All content is freely available without charge to users or their institutions. Users are allowed to read, download, copy, distribute, print, search, or link to the full texts of the articles in this journal without asking prior permission of the publisher or the author. Articles published in the journal are distributed under a http://creativecommons.org/licenses/by/4.0/.
Issues
Also in this issue:
-
Ryan Jenkins, David Černý and Tomáš Hříbek (eds) Autonomous Vehicle Ethics: The Trolley Problem and Beyond
-
As open as possible, but as closed as necessary: openness in innovation policy
-
Turning sportswashing against sportswashers: an unconventional perspective
-
State secrets and compromises with capitalism: Lev Theremin and regimes of intellectual property
-
In search of an author