In order to create incentives for internet traffic providers, not to discriminate with respect to certain applications on the basis of network capacity requirements, the concept of market driven network neutrality is introduced. Its basic characteristics are that all applications are bearing the...

This paper examines the welfare implications of a network management regime which substitutes a network neutrality regime. Under the network management regime, we allow internet service providers (ISPs) to differentiate their network connections through some quality of service (QoS) tools. We...