2014/07/25 by Alexandre de Cornière, Greg Taylor · 3 citations
Business, Management and Accounting · Decision Sciences · #Auction Theory and Applications #Consumer Market Behavior and Pricing #Digital Platforms and Economics
paper · doi:10.1111/1756-2171.12063
openalex publication_date 2014/07/25 · openalex created_date 2025/10/10 · openalex updated_date 2026/07/29
We study the effects of integration between a search engine and a publisher. In a model in which the search engine (i) allocates users across publishers and (ii) competes with publishers to attract advertisers, we find that the search engine is biased against publishers that display many ads – even without integration. Integration can (but need not) lead to own‐content bias. It can also benefit consumers by reducing the nuisance costs due to excessive advertising. Advertisers are more likely to suffer from integration than consumers. On net, the welfare effects of integration are ambiguous.