Open Access as a Crude Solution to a Hold-up Problem in the Two-sided Market for Academic Journals∗
نویسندگان
چکیده
We analyze a model in which journals cannot commit to subscription fees when authors (who prefer low subscription fees because this boosts readership) make submission decisions. A hold-up problem arises, manifested as excessive subscription fees. Open access is a crude attempt to avoid hold up by eliminating subscription fees. We assess the profitability and efficiency of traditional relative to open-access journals in a monopoly model (with extensions to nonprofit, bundled, hybrid, and competing journals). We apply the theory to understand the evolving market for academic journals in the Internet age and policies currently being debated such as an open-access mandate.
منابع مشابه
Nber Working Paper Series Open Access as a Crude Solution to a Hold-up Problem in the Two-sided Market for Academic Journals
The move from traditional to open-access journals—which charge no subscription fees, only submission fees—is gaining support in academia. We analyze a two-sided-market model in which journals cannot commit to subscription fees when authors (who prefer low subscription fees because this boosts readership) make submission decisions. This leads to a hold-up problem, manifested as excessive subscri...
متن کاملPricing Approaches for Investment Companies
The main business of an investment company is to hold and manage securities for investment purposes. In today competitive market Pricing and its methodology are complicated motions. It is very important to define a price that can prevail the competition in an open and free market. In order to define the price certain circumstances should be considered. In the academic arena there have been seve...
متن کاملA Model of Academic Journal Quality with Applications to Open-Access Journals
Previous research modeled academic journals as platforms connecting authors with readers in a two-sided market. This research used the same basic framework also used to study telephony, credit cards, video game consoles, etc. In this paper, we focus on a key difference between the market for academic journals and these other markets: journals vary in terms of quality, where a journal’s quality ...
متن کاملA Proposed Mechanism for the Iranian Model of Kidney Donation (A Comparison of the Iranian and Roth’s Models)
Optimal resource allocation by means of the price mechanism is one of the main duties of the economics. Optimum allocation is sometimes realized not through the price mechanism, but via assignment algorithms due to an insufficient number of agents on either side of the exchange. Facing the same problem, the kidney market may be considered as a type of market failure that calls for market design...
متن کاملOptimal Pricing and Quality of Academic Journals and the Ambiguous Welfare Effects of Forced Open Access: A Two-sided Model
We analyse optimal pricing and quality of a monopolistic journal and the optimality of open access in a two-sided model. The predominant aspect of the model that determines the quality levels at which open access is optimal is the nature of the (non-linear) externalities between readers and authors in a journal. We show that there exist scenarios in which open access is a feature of high-qualit...
متن کامل