Respond to the below response:

Microeconomics is about understanding how individuals and businesses make their decisions in the market. With big data, businesses want to collect as much consumer information as they can because it helps them to understand their customers/users and make better decisions. There will always be a demand for data because of the need to improve marketing, and data driven decision making for operations. Regulations on private data use can limit the supply of data, which ends up affecting how much information businesses can gather, especially businesses that trying to improve and grow. But regulations are also to protect consumer privacy and data security.

Different market structures can affect how big data is used. For example, monopoly, is where one company dominates that entire market, so big data can be both good and bad. Bad if the company uses this advantage to exploit their consumers. The company can use a lot of data to stay ahead of their competition, but this may also limit innovation and options for consumers. In regard to oligopoly, where a few different companies dominate the market, big data can have similar effects. Since they know they are not alone in this market, they will keep an eye on what the other guys are doing and try to outdo the other but that's why regulations will ensure fair competition and prices. A perfectly competitive market is one with many companies, and big data has a smaller effect because everyone is already competing on the same level with each other. Data may be a smaller advantage but can still be used to help optimize efficiency.

As big data becomes more common, there are concerns for consumers to consider and why our government and policymakers should implement some form of regulation. We talk about privacy and data security, and how our personal information can be misused, accessed without permission, and data breaches that can lead to identity theft. How many of us actually read the fine prints of the privacy information section of a website or application before signing up? Another topic to consider is discrimination and profiling.