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Florian Dendorfer

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Welcome to my web page! I am an economist at the Competition Bureau Canada. From 2023 to 2025, I was an assistant professor of economics (teaching stream) at the University of Toronto.

My research focuses on industrial organization. In particular, I am interested in the digital economy and platform markets.

The views on this site are my own and do not represent the views or the position of the Commissioner of Competition of the Government of Canada.

Current And Past Positions

2025 - Economist, Competition Bureau Canada
2023 - 2025 Assistant Professor (teaching stream), University of Toronto
2018 - 2019 Consultant, TWS Partners

Education

2019 - 2023 PhD Economics, University of St. Gallen (summa cum laude, awarded the GPEF Prize for the best thesis in economics)
2015 - 2020 MSc Economics, University of Munich
2013 - 2016 BA Political Science, University of Munich
2011 - 2015 BSc Economics, University of Munich

Publications

First-Party Selling and Self-Preferencing, International Journal of Industrial Organization, 97, 2024, 103098. (awarded the IJIO Best Theoretical Paper Award 2024)

Abstract In this paper, I analyze the welfare effect of a vertically integrated gatekeeper platform selling its own first-party product, i.e., first-party selling, as well as the platform's incentive to favor the first-party product in the product recommendations it makes, i.e., self-preferencing. I find that, irrespective of self-preferencing, both consumer welfare and platform revenue are higher under first-party selling because first-party selling mitigates double marginalization. Additionally, third-party product prices are lower in expected terms under first-party selling, either because the platform reduces the commission fee (with self-preferencing) or downstream competition is fiercer (without self-preferencing). Finally, I show that both consumers and the platform are better off if the platform commits not to engage in self-preferencing.

Working Papers

What's In the Box? The Effect Of Self-Preferencing On Amazon Marketplace (with Regina Seibel)

Abstract We examine self-preferencing in Amazon’s “Similar item to consider” box. We document a stark difference across domains: while Amazon frequently recommends alternatives to Amazon Basics (AB) products on the US website, it systematically suppresses these recommendations on the Canadian website. Leveraging this discontinuity, we estimate the causal effect of algorithmic exclusion due to self-preferencing. We find that non-AB products that merit a recommendation in the US but are denied one in Canada suffer a 11% decrease in the volume of sales. This finding quantifies the significant market distortion caused when gatekeepers favor their own inventory over rival goods.

The Cost Of The Cold-Start Problem On Airbnb (with Regina Seibel)

Abstract On platforms with peer-to-peer reviews, new products encounter the so-called “cold-start” problem: Little-known products are bought too rarely and remain little known. This paper studies how policies aimed at mitigating the cold-start problem, specifically by lowering prices for new products, affect welfare and how much of the welfare effect is due to a change in the speed of social learning. Based on data from Airbnbs located in Manhattan, we estimate a structural model with short-lived consumers and long-lived hosts who make dynamic entry, exit, and pricing decisions. We then simulate a counterfactual reduction in Airbnb’s revenue fee for new listings. While this increases total welfare, we find that it does not accelerate social learning. By contrast, if the cost of the fee reduction is passed on to hosts, faster social learning in itself increases consumer welfare by up to 5% and is the main driver of the total welfare gain.

Fall 24

ECO380H1F Markets, Competition, and Strategy (syllabus)

L5101 Thursdays 5:00 PM - 7:00 PM (lecture) and 7:00 PM - 8:00 PM (tutorial), room MS2172

Demand estimation code

Fall/Winter 24/25

ECO204Y1Y Microeconomic Theory and Applications (for Commerce) (syllabus)

L0301 Wednesdays 11:00 AM to 1:00 PM (lecture) and Thursdays 1:00 PM to 2:00 PM (tutorial), room SS2118

L0401 Wednesdays 3:00 PM to 5:00 PM (lecture) and Thursdays 1:00 PM to 2:00 PM (tutorial), room SS2117

Winter 24

ECO380H1S Markets, Competition, and Strategy (syllabus)

L5101 Thursdays 5:00 PM - 7:00 PM (lecture) and 7:00 PM - 8:00 PM (tutorial), room MC252

Fall/Winter 23/24

ECO204Y1Y Microeconomic Theory and Applications (for Commerce) (syllabus)

L0301 Wednesdays 11:00 AM to 1:00 PM (lecture) and Thursdays 1:00 PM to 3:00 PM (tutorial), room SS2118

L0401 Wednesdays 3:00 PM to 5:00 PM (lecture) and Thursdays 1:00 PM to 3:00 PM (tutorial), room SS2117