Understanding Cyber Market Failures

The article "Understanding Cyber Market Failures" from Lawfare discusses the need for a deeper understanding of market failures in cybersecurity to inform effective regulation. It identifies four key types of market failures: information asymmetries, negative externalities, market power, and public goods. The authors argue that current literature is insufficient to guide policymakers and propose that addressing these failures through regulation can enhance competition without compromising cybersecurity or operational resilience. They emphasize the importance of transparency, mandatory reporting, and clear definitions to bridge the gap between business interests and societal needs in the cyber domain

https://www.lawfaremedia.org/article/understanding-cyber-market-failures

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