Price Discrimination in the Era of Big Data

Yuqi Wang
2022 Advances in Social Science, Education and Humanities Research   unpublished
As an economic phenomenon, price discrimination has its unique characteristics and influence, and the advent of the era of big data will change its traditional characteristics and influence. This paper integrates the impact of price discrimination on consumers, businesses, and society in the era of big data and shows how to use legal and economic means to standardize price discrimination to make it play a positive role as much as possible. It is concluded that because consumers will pay
more » ... n to the reasons behind the price difference and compare them with other consumers, it will have a negative impact on reducing the willingness to consume after feeling unfair. However, once price discrimination is eliminated entirely, social welfare will improve. In the context of big data, it is difficult for consumers to perceive unfair treatment. Therefore, the nature of algorithmic discrimination can be clarified in law, and the responsibilities of actors who develop and use the algorithms can be clarified to reduce negative impacts. Whether the behavior of price discrimination has improved social welfare so as to require relevant policies to increase its positive impact is yet to be determined.
doi:10.2991/assehr.k.220504.102 fatcat:7o7n6keztfgivhtlg23ajwgx7u