Because decentralized platforms can remove the consumer fees that are integral to their centralized competitors, they also remove downward pressure on platform worker compensation, since costs are less likely to increase and be passed on to workers and consumers.
Source quote, verbatim
Removing such centralized fees also allows for the removal of downward pressure on the platforms' worker compensation as costs are less likely to increase and be passed on to workers and consumers.
Wulf A. Kaal, How Decentralized Systems Can Upgrade AI (2021). SSRN: https://ssrn.com/abstract=3808867
Holds when
decentralized platforms with lower cost structures than centralized competitors
Classification
mechanismsupport: arguedeconomicsdecentralization
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