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A Basic Model for Analyzing Platforms with Vertical Markets

Analytics

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EconWorks
May 07, 2025
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Legal cases involving Google and other FAANG companies take place in complex markets, which makes analyzing these litigations difficult. Before delving into these cases, we will introduce a basic model that highlights essential market characteristics and applies economic principles. This approach will simplify market structures while effectively capturing the key competitive dynamics. Instead of using a generic market for our analysis, we will focus on the advertising market as our example.

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