Difference between revisions of "Network externality"
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(Created page with "We talk about '''network externality''' when there is an effect of other users on the value of a good for a given customer. == See also == Positive network externalities") |
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| − | We talk about '''network externality''' when there is an effect of other users on the value of a good for a given customer. | + | We talk about '''network externality''' when there is an effect of other users on the value of a good for a given customer. Positive network externalities exist when the value of a good increases with the number of customers who purchase or use that good. |
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Revision as of 11:56, 9 January 2013
We talk about network externality when there is an effect of other users on the value of a good for a given customer. Positive network externalities exist when the value of a good increases with the number of customers who purchase or use that good.