“In chapter 4 of their book Law by Algorithm (Mohr Siebeck, 2021), entitled ‘Down by Algorithms? Siphoning Rents, Exploiting Biases, and Shaping Preferences: Regulating the Dark Side of Personalized Transactions’, reprinted from 86 University of Chicago Law Review 581 (2019), Horst Eidenmüller and Gerhard Wagner draw attention to three worrying features of personalised B2C transactions. They demonstrate, in terms of both overall efficiency and individual autonomy, the downsides of (1) first-degree price discrimination allowing businesses to siphon rents from consumers, (2) algorithms facilitating the systematic exploitation of behavioural biases, and (3) the preference-shaping effects entailed by an inbuilt ‘feedback loop’ …” (more)
[Birke Häcker, Oxford Business Law Blog, 4 July]
First posted 2022-07-04 11:00:25
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