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However, to gather the data used for targeting requires some degree of privacy intrusion by advertisers. This sets up a tradeoff between the informativeness of advertising and the degree of privacy intrusion. This paper summarizes recent empirical research that illuminates this tradeoff." xml:lang="en_US" /> <meta name="DC.language" content="en_US" scheme="DCTERMS.RFC1766" /> <meta name="DC.publisher" content="Elsevier" xml:lang="en_US" /> <meta name="DCTERMS.isVersionOf" content="http://dx.doi.org/10.1016/j.ijindorg.2011.11.004" xml:lang="en_US" /> <meta name="DC.rights" content="Creative Commons Attribution" xml:lang="en_US" /> <meta name="DC.rights" content="http://creativecommons.org/licenses/by-nc-nd/4.0/" xml:lang="en_US" scheme="DCTERMS.URI" /> <meta name="DC.source" content="MIT web domain" xml:lang="en_US" /> <meta name="DC.title" content="The economics of advertising and privacy" xml:lang="en_US" /> <meta name="DC.type" content="Article" xml:lang="en_US" /> <meta name="DCTERMS.bibliographicCitation" content="Tucker, Catherine E. “The Economics of Advertising and Privacy.” International Journal of Industrial Organization 30, no. 3 (May 2012): 326–329." xml:lang="en_US" /> <meta name="DC.contributor" content="Sloan School of Management" xml:lang="en_US" /> <meta name="DC.contributor" content="Tucker, Catherine Elizabeth" xml:lang="en_US" /> <meta name="DC.relation" content="International Journal of Industrial Organization" xml:lang="en_US" /> <meta name="DC.type" content="http://purl.org/eprint/type/JournalArticle" xml:lang="en_US" /> <meta name="DC.identifier" content="https://orcid.org/0000-0002-1847-4832" /> <meta content="Article" name="citation_keywords"> <meta content="The economics of advertising and privacy" name="citation_title"> <meta content="01677187" name="citation_issn"> <meta content="Elsevier" name="citation_publisher"> <meta content="en_US" name="citation_language"> <meta content="Tucker, Catherine E." name="citation_author"> <meta content="https://dspace.mit.edu/bitstream/1721.1/99168/1/Tucker_Economics%20of%20advertising.pdf" name="citation_pdf_url"> <meta content="2012-01" name="citation_date"> <meta content="https://dspace.mit.edu/handle/1721.1/99168" name="citation_abstract_html_url"> </head><body> <div class="wrap-outer-header layout-band"> <div class="wrap-header"> <header role="banner" class="header-site header-slim"> <div class="wrap-header-core"> <h1 class="name-site group nav-logo"> <a href="https://libraries.mit.edu/" class="logo-mit-lib"><img height="35" alt="MIT Libraries logo" src="https://cdn.libraries.mit.edu/files/branding/local/mitlib-wordmark.svg"></a><a href="/" class="platform-name">DSpace@MIT</a> </h1> </div> <div class="wrap-header-supp"> <a href="https://www.mit.edu" class="link-logo-mit"><img height="35" alt="MIT" src="https://cdn.libraries.mit.edu/files/branding/local/mit_logo_std_rgb_white.svg"></a> </div> </header> </div> </div> <div class="trail-wrapper hidden-print"> <div> <div> <div> <div class="breadcrumb dropdown visible-xs"> <a data-toggle="dropdown" class="dropdown-toggle" role="button" href="#" id="trail-dropdown-toggle">View Item <b class="caret"></b></a> <ul aria-labelledby="trail-dropdown-toggle" role="menu" class="dropdown-menu"> <li role="presentation"> <a role="menuitem" href="/">DSpace@MIT Home</a> </li> <li role="presentation"> <a role="menuitem" href="/handle/1721.1/49432">MIT Open Access Articles</a> </li> <li role="presentation"> <a role="menuitem" href="/handle/1721.1/49433">MIT Open Access Articles</a> </li> <li role="presentation" class="disabled"> <a href="#" role="menuitem">View Item</a> </li> </ul> </div> <ul class="wrap-breadcrumb breadcrumb hidden-xs"> <li> <a href="/">DSpace@MIT Home</a> </li> <li> <a href="/handle/1721.1/49432">MIT Open Access Articles</a> </li> <li> <a href="/handle/1721.1/49433">MIT Open Access Articles</a> </li> <li class="active">View Item</li> </ul> </div> </div> </div> </div> <div class="hidden" id="no-js-warning-wrapper"> <div id="no-js-warning"> <div class="notice failure">JavaScript is disabled for your browser. Some features of this site may not work without it.</div> </div> </div> <div class="wrap-content" id="main-container"> <div class="starter"> <button type="button" class="navbar-toggle visible-xs visible-sm pull-right" data-toggle="offcanvas"><span class="sr-only">Toggle navigation</span><span class="icon-bar"></span><span class="icon-bar"></span><span class="icon-bar"></span></button> </div> <div class="row row-offcanvas row-offcanvas-right"> <div class="horizontal-slider clearfix"> <div class="col-xs-12 col-sm-12 col-md-9 main-content"> <div> <div id="aspect_versioning_VersionNoticeTransformer_div_item-view" class="ds-static-div primary">  <div class="item-summary-view-metadata"> <h2 class="page-header first-page-header">The economics of advertising and privacy</h2> <div class="simple-item-view-authors item-page-field-wrapper table"> <h5>Author(s)</h5> <span class=" ds-dc_contributor_author-authority "><span class="author-list-1">Tucker, Catherine Elizabeth</span></span> </div> <div class="row"> <div class="col-sm-4 smaller-font"> <div class="row"> <div class="col-xs-6 col-sm-12"> <div class="thumbnail"> <img alt="Thumbnail" class="img-thumbnail" src="/bitstream/handle/1721.1/99168/Tucker_Economics%20of%20advertising.pdf.jpg?sequence=4&isAllowed=y"></div> </div> <div class="col-xs-6 col-sm-12"> <div class="item-page-field-wrapper table word-break"> <div> <a class="btn btn-primary download-button" href="/bitstream/handle/1721.1/99168/Tucker_Economics%20of%20advertising.pdf?sequence=1&isAllowed=y">Download</a>Tucker_Economics of advertising.pdf (156.9Kb)</div> <div class="bitstream-license"> <a href="#" class="license-key"><i class="glyphicon glyphicon-list-alt" aria-hidden="true"></i> PUBLISHER_CC</a> <div class="hidden license-content"><!DOCTYPE html> <html> <body> <h1>Publisher with Creative Commons License</h1> <p>Creative Commons Attribution</p> </body> </html></div> </div> </div> <div class="item-page-field-wrapper table word-break"></div> </div> </div> <div class="simple-item-view-terms item-page-field-wrapper"> <h5>Terms of use</h5> <div> <field mdschema="dc" language="en_US" element="rights">Creative Commons Attribution</field> <a href="http://creativecommons.org/licenses/by-nc-nd/4.0/"> <field qualifier="uri" mdschema="dc" language="en_US" element="rights">http://creativecommons.org/licenses/by-nc-nd/4.0/</field> </a> </div> </div> <div class="simple-item-view-show-full item-page-field-wrapper table"> <h5>Metadata</h5> <a href="/handle/1721.1/99168?show=full">Show full item record</a> </div> </div> <div class="col-sm-8"> <div class="simple-item-view-description item-page-field-wrapper table"> <h5>Abstract</h5> <div>One of the new realities of advertising is that personal information can be used to ensure that advertising is only shown and designed for a select group of consumers who stand to gain most from this information. However, to gather the data used for targeting requires some degree of privacy intrusion by advertisers. This sets up a tradeoff between the informativeness of advertising and the degree of privacy intrusion. This paper summarizes recent empirical research that illuminates this tradeoff.</div> </div> <div class="simple-item-view-date word-break item-page-field-wrapper table"> <h5>Date issued</h5>2012-01</div> <div class="simple-item-view-uri item-page-field-wrapper table"> <h5>URI</h5> <span><a href="http://hdl.handle.net/1721.1/99168">http://hdl.handle.net/1721.1/99168</a></span> </div> <div class="simple-item-view-department item-page-field-wrapper"> <h5>Department</h5> <span>Sloan School of Management</span> </div> <div class="simple-item-view-journal item-page-field-wrapper"> <h5>Journal</h5> <div>International Journal of Industrial Organization</div> </div> <div class="simple-item-view-journal item-page-field-wrapper"> <h5>Publisher</h5> <div>Elsevier</div> </div> <div class="simple-item-view-citation item-page-field-wrapper"> <h5>Citation</h5> <div>Tucker, Catherine E. “The Economics of Advertising and Privacy.” International Journal of Industrial Organization 30, no. 3 (May 2012): 326–329.</div> <div>Version: <field qualifier="version" mdschema="dc" language="en_US" element="eprint">Author's final manuscript</field> </div> </div> <div class="simple-item-view-identifier item-page-field-wrapper"> <h5>ISSN</h5> <div>01677187</div> </div> <hr class="collection-separator"> <div class="simple-item-view-collections item-page-field-wrapper table"> <h5>Collections</h5> <ul class="ds-referenceSet-list">  <li> <a href="/handle/1721.1/49433">MIT Open Access Articles</a> </li> </ul> </div> </div> </div> </div> </div> <div id="aspect_statistics_statlet_StatletTransformer_div_showStats" class="ds-static-div"> <p class="ds-paragraph"> <a href="#" class="btn btn-default">Show Statistical Information</a> </p> <p class="ds-paragraph"> <input id="aspect_statistics_statlet_StatletTransformer_field_contextpath" class="ds-hidden-field form-control" name="contextpath" type="hidden" value=""> </p> <p class="ds-paragraph"> <input id="aspect_statistics_statlet_StatletTransformer_field_statlet-ms-hide" class="ds-hidden-field form-control" name="statlet-ms-hide" type="hidden" value="Hide Statistical Information"> </p> <p class="ds-paragraph"> <input id="aspect_statistics_statlet_StatletTransformer_field_statlet-ms-ajax-timeout" class="ds-hidden-field form-control" name="statlet-ms-ajax-timeout" type="hidden" value="The server did not respond in time. 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