An article authored by Principal and US Antitrust & Competition Practice Leader Dr. Minjae Song, “Estimating Platform Market Power in Two-Sided Markets with an Application to Magazine Advertising,” was cited in the 2023 Economic Report of the President. Produced by the Council of Economic Advisers (CEA), the annual report outlines the Biden administration’s domestic and international economic policies and provides an overview of economic progress in the United States.
Dr. Song’s article, which appeared in the May 2021 issue of the American Economic Journal: Microeconomics, uses a structural model to estimate markup on both sides of a two-sided market platform and predict price and welfare changes resulting from platform mergers. In the Biden Administration’s report, the article is cited as research showing the complexities of assessing competitive effects in digital market mergers.
The full 2023 Economic Report of the President can be found below.