Transaction costs and the social cost of online privacy

摘要: Economically, privacy can be understood as a problem of social cost, where the actions one agent (e.g., mailing list broker) impart negative externality on another an end consumer). Problems in cost by modeling liabilities, transaction costs and property rights assigned to various economic agents within system, resolved reallocating liability different needed achieve equilibrium. This article examines how advances high speed networking data storage have radically reduced businesses collecting, storing, manipulating exchanging large amounts personally identifying information consumers, policy implications that these reductions over personal information. A complementary legal system recognizes individual is suggested way which greatly accelerate adoption electronic commerce extract inefficiencies from already existing marketplace for