Toll Road or Dumb Pipe? Economic Perspectives on Net Neutrality

Abstract Net neutrality is hotly debated among both scholars and politicians for more than a decade already, but it’s still one of the most prominent topics in telecommunications policy. This paper reviews the recent economic literature on net neutrality following an introductory discussion of relevant features of the market for Internet service provision. In the course of doing so, multiple regulatory regimes are evaluated with respect to their economic impact. Albeit the economic literature highlights some dangers that can evolve from violations of net neutrality, there is little evidence that would justify a rigorous ex-ante regulation.