Imperial College London
Portrait Picture

ProfessorTommasoValletti

Business School

Professor of Economics
 
 
 
//

Contact

 

+44 (0)20 7594 9215t.valletti Website CV

 
 
//

Location

 

417City and Guilds BuildingSouth Kensington Campus

//

Summary

 

Publications

Citation

BibTex format

@article{Karen:2023:joclec/nhac010,
author = {Karen, C and Jon, F and Leonardo, G and Valletti, T},
doi = {joclec/nhac010},
journal = {Journal of Competition Law and Economics},
pages = {75--102},
title = {Platform-based business models and financial inclusion: policy trade-offs and approaches},
url = {http://dx.doi.org/10.1093/joclec/nhac010},
volume = {19},
year = {2023}
}
Download

RIS format (EndNote, RefMan)

TY  - JOUR
AB  - Three types of digital platforms are expanding in financial services: (i) fintech entrants;(ii) big tech firms; and (iii) increasingly, incumbent financial institutions with platformbased business models. These platforms can dramatically lower costs and thereby aidfinancial inclusion – but these same features can give rise to digital monopolies andoligopolies. Digital platforms operate in multi-sided markets, and rely crucially on bigdata. This leads to specific network effects, returns to scale and scope, and policy tradeoffs. To reap the benefits of platforms while mitigating risks, policy makers can: (i) applyexisting financial, antitrust and privacy regulations, (ii) adapt old and adopt newregulations, combining an activity and entity-based approach, and/or (iii) provide newpublic infrastructures, such as digital identity and retail fast payment systems. Thesepublic infrastructures, as well as ex ante competition rules and data portability, areparticularly promising. Yet to achieve their policy goals, central banks and financialregulators need to coordinate with competition and data protection authorities.
AU  - Karen,C
AU  - Jon,F
AU  - Leonardo,G
AU  - Valletti,T
DO  - joclec/nhac010
EP  - 102
PY  - 2023///
SN  - 1744-6414
SP  - 75
TI  - Platform-based business models and financial inclusion: policy trade-offs and approaches
T2  - Journal of Competition Law and Economics
UR  - http://dx.doi.org/10.1093/joclec/nhac010
UR  - http://hdl.handle.net/10044/1/97954
VL  - 19
ER  -
Download