The Economics of information networks

Provided in this book is a penetrating analysis of the broad array of the changes that generation, introduction and diffusion of a wave of radical innovations such as new information technologies and advanced telecommunications produce on industrial structures, corporate organization and firms behavior. The major contribution of the book lies in highlighting the role of factors such as technological, pecuniary, adoption, demand and network factors as a general conceptual framework for analysing technological change. Building on this theoretical framework, the book shows how cooperation among firms emerges as the distinctive feature of the new models of industrial organization. Interdependence between firms in fact is more and more shaped by networks of complementarities, localized spillovers and learning opportunities. In the conclusion the policy implications for assessing the evolution of network technologies with special reference to advanced telecommunications are consequently analyzed and developed.