In network economics,the value of a commercial software vendor's software products:
A)increases as more people use them.
B)decreases as more people use them.
C)increases due to higher marginal gain in output.
D)decreases according to the law of diminishing returns.
E)is unrelated to the number of people that use them.

Question

Quizplus · Accepted Answer

In network economics, the value of a commercial software vendor's software products increases as more people use them due to network effects. This is because the value of the software increases with the size of the user network, as more users mean more opportunities for interaction and collaboration, and therefore greater utility for each individual user.

In Network Economics,the Value of a Commercial Software Vendor's Software