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ICT and Household-Firm Relations
Stockholm University, Faculty of Social Sciences, Institute for International Economic Studies.
Stockholm University, Faculty of Social Sciences, School of Business.
1999 (English)Report (Other academic)
Abstract [en]

This paper discusses how ICT and emerging electronic commerce in consumer products influence the relative efficiency in production of households and firms, resulting in changes in the division of tasks between these two types of agents. Increased information and competence of households, in combination with stiffer competition among firms, will also increase the power of households relative to firms, at least in a long-term perspective with free entry firms. Households will also get more powerful channels to influence firms directly, i.e., beside the indirect influence via market transactions. We point out that this will result in various counter-reactions by firms, including increased differentiation of products and prices. Finally, we briefly consider various limitations and obstacles to electronic commerce in a long-term perspective.

Place, publisher, year, edition, pages
Stockholm: IIES , 1999. , 29 p.
Seminar Paper / Institute for International Economic Studies, Stockholm University, ISSN 0347-8769 ; 677
Keyword [en]
information technology, household productions, division of labor, market powers, competition
National Category
URN: urn:nbn:se:su:diva-41141OAI: diva2:328472
Available from: 2010-07-05 Created: 2010-07-05 Last updated: 2010-08-16Bibliographically approved

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Lindbeck, Assar
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Institute for International Economic StudiesSchool of Business

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