Speaker: 邱志刚，中国人民大学
Title: Data Sales, Asset Prices and Competition in Product Market

Language: Chinese
Time & Venue: 2024.04.16 09:00-10:00 思源楼315

Abstract: We develop a data sales model with feedback effect to study how alternative data affects interaction between the financial and product markets. The asset price in the financial market aggregates information from speculators who purchase data from a monopolistic data vendor and feeds back to the product market. The information obtained by young firm in the product market both from the asset price in the financial market and the data purchased from the data vendor determines the competition in the product market. In addition to the positive effect by more information from alternative data, data-sales in financial market also has negative indirect effect of information leakage through the asset price which affects the data-sales in product market under the feedback effect. When the size of data endowment or noise trading increases, we observe non-monotonic changes in the financial market quality variables, product market competition and consumer welfare, influenced by vendor’s endogenous supply of data.