PLATFORM REGULATION AS BONA FIDES: FROM ECONOMIC EFFICIENCY TO RULE

Keywords: platform economy, digital platform, marketplace, classified, digital platform regulation, legal glossary, QCA

Abstract

The platform economy is a global phenomenon with a huge social and financial outcome comparable to the Industrial Revolution. Currently, no nation-state worldwide possesses an established and harmonized regulatory practice for digital platforms. This circumstance presents a distinct challenge for public governance, particularly concerning the allocative function and the ability to control externalities for the consumer. The risk of such externalities is significant, given the absence of unified, foundational regulatory principles for entities shaping the platform economy. Furthermore, a comprehensive description of the fragmented and existing regulations has not yet been proposed. In this regard, this study offers an original conceptualization of digital platform regulation types, providing a systematic reflection of the regulatory imbalance issue in both domestic and international practices. This study also conducts qualitative comparative analysis (QCA), the results of which indicate that current approaches to regulating the platform economy do not provide optimal conditions for its balanced development. Consequently, further research and a reconsideration of regulatory strategies are warranted. Based on this analysis we posit that a unified “gold standard” for platform economy regulation is achievable if it would be based on a shared conceptual framework (glossary), classifications, and established approaches to information exchange conducted by platforms, while the substantive aspects of regulation should be implemented as needed through supplementary legislation.

Downloads

Download data is not yet available.

Author Biographies

Yaroslav I. Kuzminov, National Research University Higher School of Economics

Academic Supervisor

Alexey S. Koshel, National Research University Higher School of Economics

Vice Rector, Professor at the Department of Public Law

Ekaterina V. Kruchinskaia, National Research University Higher School of Economics

Lecturer at the Department of Politics and Governance

References

Ларионова М.В., Доронин П.А. Проблемы регулирования цифровых платформ: трудности и возможности международного сотрудничества // Вестник международных организаций. 2024. Т. 19, № 2. С. 70–92. DOI:10.17323/1996-7845-2024-02-04.

Ларионова М.В., Шелепов А.В. Индия. Формирование регулирования технологических компаний для роста цифровой экономики // Вестник международных организаций. 2024. Т. 19, № 2. С. 127–144. DOI:10.17323/1996-7845-2024-02-07.

Лютов Н.Л., Войтковская И.В. Водители такси, выполняющие работу через онлайн-платформы: каковы правовые последствия «уберизации» труда? // Актуальные проблемы российского права. 2020. Т. 115, № 6. С. 149–159. DOI:10.17803/1994-1471.2020.115.6.149-159.

НИУ ВШЭ. Цифровая трансформация: эффекты и риски в новых условиях. М.: ИСИЭЗ ВШЭ, 2024. URL: https://publications.hse.ru/pubs/share/direct/943961082.pdf (дата обращения: 05.02.2025).

Саяпин С.П. О защите персональных данных потребителей товаров и услуг на цифровых платформах в США // Международный научно-исследовательский журнал. 2024. Т. 141, № 3. DOI:10.23670/IRJ.2024.141.74.

Шелепов А.В., Колмар О.И. Регулирование цифровых платформ в России // Вестник международных организаций. 2024. Т. 19, № 2. С. 110–126. DOI:10.17323/1996-7845-2024-02-06.

Acs Z.J., Autio E., Szerb L. National systems of entrepreneurship: Measurement issues and policy implications // Research Policy. 2014. Vol. 43, no. 3. Р. 476–494. DOI:10.1016/j.respol.2013.08.016.

Afina Y., Buscher M., Krasodomski A., Rowe J., Sun N., Wilkinson R. Towards a global approach to digital platform regulation: Preserving openness amid the push for internet sovereignty. (Research Paper). London, Royal Institute of International Affairs. 2024. DOI:10.55317/9781784135935.

Axelrod R. The evolution of cooperation. Basic Books, New York. 1984.

Bourreau M., Kraemer J. Interoperability in digital markets: boon or bane for market contestability? // SSRN Electronic Journal. 2022. DOI:10.2139/ssrn.4172255.

Brynjolfsson E., McAfee A. The second machine age: Work, progress, and prosperity in a time of brilliant technologies. W.W. Norton, Company. 2014.

Buchanan J.M., Yoon Y.J. Symmetric Tragedies: Commons and Anticommons // The Journal of Law & Economics. 2000. Vol. 43, no. 1. Р. 1–14. DOI: 10.1086/467445

Chen B., Liu Y. Promotion and Advancement of Data Security Governance in China // Electronics. 2024. Vol. 13, no. 10. P. 1905. DOI:10.3390/electronics13101905.

Coase R.H. The problem of social cost // Journal of Law and Economics. 1960. Vol. 3. P. 1–44.

Das S., Sharma D. An empirical study on conundrum of regulating Over-The-Top (OTT) platforms in India // Educational Administration: Theory and Practice. 2024. Vol. 30, no. 4. Р. 8617–8626. DOI:10.53555/kuey.v30i4.2794.

Deryugina E., Leonidov A., Ponomarenko A., Radionov S., Vasilyeva E. Network structure of the economy and the propagation of monetary shocks // The Bank of Russia Working Paper Series. 2024. DOI:10.13140/RG.2.2.31908.28807.

Directive (EU) 2024/2831 of the European Parliament and of the Council on improving working conditions in platform work. 2024. URL: https://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=OJ:L_202402831 (дата обращения: 05.02.2025).

E-Commerce Law of the People's Republic of China. 2018. URL: http://en.npc.gov.cn.cdurl.cn/2018-08/31/c_697283.htm (дата обращения: 05.02.2025).

Fair Work Act No. 28. 2009. URL: https://www.legislation.gov.au/C2009A00028/latest/text (дата обращения: 05.02.2025).

Goldfarb A., Tucker C. Digital economics // Journal of Economic Literature. 2019. Vol. 57, no. 1. Р. 3–43. DOI:10.1257/jel.20171452.

Guiding Opinions on Safeguarding Labour Security Rights and Interests under New Forms of Employment. 2021. URL: https://www.gov.cn/zhengce/zhengceku/2021-07/23/content_5626761.htm (дата обращения: 05.02.2025).

Heimburg V., Wiesche M. Digital platform regulation: opportunities for information systems research // Internet Research. 2023. Vol. 33, no. 7. Р. 72–85. DOI:10.1108/INTR-05-2022-0321.

HFW. Digital Markets, Competition and Consumers Act 2024. Holman Fenwick Willan LLP. 2024. URL: https://www.hfw.com/app/uploads/2024/06/006101-HFW-Digital-Markets-Competition-and-Consumers-Act-2024-1.pdf (дата обращения: 05.02.2025).

Huang Y. The platform economy in China: Innovation and regulation // In ANU Press eBooks. 2022. Р. 73–87. DOI:10.22459/ctnpd.2022.04.

Ilan D., Robledo M., Faragasso M., D’Alessandro C. Privacy and Data Protection Compliance Will Become More Fragmented in 2024 // Cleary Gottlieb Steen, Hamilton LLP. 2024. Р. 92–98. URL: https://www.clearygottlieb.com/-/media/files/bod-2024/selected-issues-for-boards-of-directors-2024.pdf (дата обращения: 05.02.2025).

ILO. Expansion of the gig economy in India and opportunities for Employers and Business Members Organizations. Geneva, International Labour Office. 2024.

International Trade Administration. European Region Retail eCommerce Forecast. 2024. URL: https://www.trade.gov/european-retail-ecommerce (дата обращения: 05.02.2025).

Jeong Y. Enhancing Policy and Regulatory Approaches to Strengthen Digital, Platform, and Data Economies // ADB Sustainable Development Working Papers Series. 2023. No. 91. December. DOI:10.22617/WPS230602-2.

Kenney M., Zysman J. The Rise of the Platform Economy // Issues in Science and Technology. 2016. Vol. 32, no. 3. Р. 61–69.

Kim&Chang. Updates on Self-Rating Framework for Online Video Products and Trends in Online Platform Self-Regulation. 2023. URL: https://www.kimchang.com/en/insights/detail.kc?sch_section=4,idx=26398 (дата обращения: 05.02.2025).

Labour Statutes Amendment Act, BILL 48 – 2023. 4th Session, 42nd Parliament. 2023. URL: https://www.bclaws.gov.bc.ca/civix/document/id/bills/billsprevious/4th42nd:gov48-1 (дата обращения: 05.02.2025).

Lafuente E., Ács Z.J., Szerb L. Analysis of the digital platform economy around the world: A network DEA model for identifying policy priorities // Journal of Small Business Management. 2024. Vol. 62, no. 2. Р. 847–891. DOI:10.1080/00472778.2022.2100895.

Lei X., Baghaie S., Mohammad Sajadi S. The digital economy: Challenges and opportunities in the new era of technology and electronic communications // Ain Shams Engineering Journal. 2024. Vol. 15, no. 2. DOI:10.1016/j.asej.2023.102411.

Li R. Antitrust Regulation of Self-Preferential Behavior of Digital Platform Operators in China // SHS Web of Conferences. 2024. No. 190. Р. 1–7. DOI:10.1051/shsconf/202419003031.

Ma A. Convergent antitrust regulation of the digital economy in China, the European Union and the United States: mirror of an intensifying geopolitical competition // ARPE. 2024. Vol. 3, art. no. 9. DOI:10.1007/s44216-024-00027-3

Mamonov S. Digital Platform Strategy – A Systematic Critical Review // Proceedings of the 56th Hawaii International Conference on System Sciences. 2023. Vol. 2023, January. Р. 4781–4790. URL: https://hdl.handle.net/10125/103215 (дата обращения: 05.02.2025).

Munoz F., Holsapple C.W., Sasidharan S. E-commerce // In: Nof, S.Y. (eds) Springer Handbook of Automation. Springer Handbooks. Springer, Cham. 2023. P. 1411–1430. DOI:10.1007/978-3-030-96729-1_67.

OECD. The Digital Transformation of SMEs. OECD Publishing, Paris. 2021. DOI:10.1787/bdb9256a-en.

Pigou A.C. The economics of welfare. Macmillan. 1920.

O'Brien J. The Back-and-Forth Battle of Defining Independent Contractors // Missouri Law Review. 2024. Vol. 89.

Podszun R. From Competition Law to Platform Regulation – Regulatory Choices for the Digital Markets Act // Economics. 2023. Vol. 17, no. 1. Art. no. 2022-0037. DOI:10.1515/econ-2022-0037.

Tombal T. Ensuring contestability and fairness in digital markets through regulation: a comparative analysis of the EU, UK and US approaches // European Competition Journal. 2022. Vol. 18, no. 3. Р. 468–500. DOI:10.1080/17441056.2022.2034331.

UNCTAD. Digital Economy Report 2019. Value Creation and Capture: Implications for Developing Countries. New York, United Nations. 2019.

Unver M.B. Regulation of the Digital Markets in the UK, US and the EU: Context, Criteria, Containment, and Beyond. In: K. Tyagi, A. K. Sanders, C. Cauffman (Eds.). Digital Platforms, Competition Law, and Regulation: Comparative Perspectives. Oxford, Hart Publishing. 2024. P. 177–202. DOI:10.5040/9781509969418.ch-010.

Vallas S., Schor J. B. What do platforms do? Understanding the gig economy // Annual Review of Sociology. 2020. No. 46, Р. 273–294. DOI: 10.1146/annurev-soc-121919-054857

Wang R. Challenges and countermeasures for the protection of online consumer rights in the digital economy // Advances in Economics Management and Political Sciences. 2023. Vol. 55, no. 1. Р. 102–106. DOI:10.54254/2754-1169/55/20230969.

Published
2025-03-28
How to Cite
KuzminovY. I., KoshelA. S., & KruchinskaiaE. V. (2025). PLATFORM REGULATION AS BONA FIDES: FROM ECONOMIC EFFICIENCY TO RULE. Public Administration Issues, (1), 7-37. https://doi.org/10.17323/1999-5431-2025-0-1-7-37
Section
THE THEORY AND PRACTICES OF THE PUBLIC ADMINISTRATION