Most arguments in favor of net neutrality regulation focus on fairness to the public. Definitions of "net neutrality" often characterize it as a principle that fosters free speech on the Internet. But a new study contends that barring ISPs from favoring certain content providers is more than a good concept—it's also sound economic policy.
"Without net neutrality rules, new technologies could lead to pricing practices that transfer wealth from content providers to ISPs," warns the Institute for Policy Integrity, "a form of price discrimination that would reduce the return on investment for Internet content—meaning website owners, bloggers, newspapers, and businesses would have less incentive to expand their sites and applications."
Such a reallocation of resources would hobble investment in the 'Net overall, concludes Free to Invest: The Economic Benefits of Preserving Net Neutrality (cheat sheet version here).
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