Technical Appendix: A Formal Model of Governance Wedges and Dynamic Amplification
Companion to FAANG Antitrust Series
Throughout the EconWorks FAANG Antitrust Series, we have explored the influence of platform governance on competition within digital ecosystems. Despite the variations in specific cases—such as search rankings, self-preferencing, app store fees, default settings, payment network agreements, and interoperability limitations—a central question unifies our analyses: How do the regulations established by platforms alter the evolution of competition over time? Although these cases pertain to different products and legal frameworks, they collectively reveal a fundamental truth: the platform acts as the regulator of its market.
