Question

Existing auction sites, such as eBay, are inherently more valuable to customers than new auction sites. This basic economic fact is called a(n) _____.

Answer 1

The correct answer to the following question will be the "Lock-in effect".

Step-by-step explanation:

• Lock-in effect is a concept that can be spoken about either indoor or outdoor economics. Unlike route dependency, lock-in arises in economics whenever an agent behaves in a certain way because it's more productive when considering change costs, although it might not be successful when considering change costs.
• Operating online shops, such as eBay, Amazon, etc, are infinitely more valuable to the buyer than modern resale sites. The basic economic reality is called the Lock-in Effect.

Therefore, Lock-in Effect is the right answer.