We provide a selective overview of the literature on standardization. We first summarize the essential mechanisms underlying the economics of product compatibility and in so doing we review the various frameworks that have been used. Then we survey existing work about the consequences of compatibility on entry deterrence and technological progress. We finally investigate some implications of the literature for trade policy in the presence of network externalities and suggest some directions for future research.

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Publication type:
  • Journal article
Other authors:
  • Carmen Matutes
  • Pierre Regibeau