The Digital Markets Act and incentives to innovate

20 May 2021

Amazon commissioned Oxera to conduct a behavioural economics experiment to test the impact of regulatory interventions, such as the proposal for the EU Digital Markets Act (‘DMA’), on innovation in the EU. This experiment brings new evidence of the likely effect of these regulatory proposals.

The results showed that these interventions are likely to reduce the total amount of innovation in high digital intensity industries, which are among the main contributors to European growth.