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1081_CDPS_G1 [PR] Chapter 11– Policy (Regulatory Issues due to the growth…

- - - - MonkeyParking APP
        
        release empty place to other users
        
        decrease burning fossil fuels and adding to traffic congestion in the process
      - is criticized it is unfair system that privatization and monetization of a public good
    - - Airbnb promote tourism business and local economy
  - - - for laissez-faire approach
      - encouraging fair competition
- - - - multinational firms expand into less developed countries
      - ensure that a portion of the economic growth created by the new venture remains in the host country rather than being transferred to the headquarters of the multinational
      - EX: Siemens and GE expand into sub-Saharan Africa
    - - protecting citizen's privacy
        
        hodgepodge of local data processing centers
        
        fragmentation of data
        
        notable economic impact
        
        EX: ad placement firms their decision are significantly less effective in their European operations
  - - - Should the platform pay or people work on the platform?
  - - - Equal Credit Opportunity Act in 1974
      - occupy predatory lending (focus on the people who cannot afford credit by lender / fees for missed payments)
  - - - Sexual insulting or Racism
      - Insurance or other workers' rights
  - - - low prices temporarily benefit consumers
      - driving competitors out of business
      - remaining supplier raise prices to monopoly levels
  - - - They controls massive data of their users when monopoly
      - Like government they are the authority
        
        Blockchain might solve the problem
  - - - EX: Alibaba group control 80%of e-commerce which cause a hard time for other online business to grow
    - - EX: Sun Microsystems filed suit against Microsoft
    - - EX: Sony, Microsoft, and Nintendo
    - - slower or prevent the adoption of new network effect
- - - - Airbnb
      - Uber
- - - - :green_cross:less able to regulate market failure off-platform
      - :green_cross:don't act to maximize social welfare
      - :check:adept at regulating failures on-platform
    - - :green_cross:can't serve as a foolproof guardian
  - - - examine the internal governance system on the platform
      - make sure the negative externalities reducing
      - avoid the anticompetitive behavior outweighing the positive benefit
- - - - market participants act to influence regulation in their own interest
      - government rule :arrow_right: block competition and innovation rather than protect consumers and benefit socirty
      - one of examples
        
        when government enforces business regulation , they turn to business leader for advice :arrow_right: rule end up benefiting companies
      - undercut the claims to legitimacy of most economic regulation by government
      - case of intervention
        
        government interventions against Uber and other sharing-economy innovations(Airbnb)
      - the prevalence of regulatory capture across countries
  - - - likely to produce high social and economic cost
      - business fraud、unfair competition、monopolistic and oligopolistic practices
    - - in some totalitarian countries
      - corruption、inefficiency、waste and lack of innovation