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Valuing Data as an Asset

Author

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  • Laura Veldkamp

Abstract

In the twenty-first century, the most valuable firms in the world are valued primarily for their data. This article describes a set of tools to measure and value data and highlights unanswered questions, where more research is needed.

Suggested Citation

  • Laura Veldkamp, 2023. "Valuing Data as an Asset," Review of Finance, European Finance Association, vol. 27(5), pages 1545-1562.
    • Handle: RePEc:oup:revfin:v:27:y:2023:i:5:p:1545-1562.
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    File URL: http://hdl.handle.net/10.1093/rof/rfac073
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    References listed on IDEAS

    as
    1. Bai, Jennie & Philippon, Thomas & Savov, Alexi, 2016. "Have financial markets become more informative?," Journal of Financial Economics, Elsevier, vol. 122(3), pages 625-654.
    2. Merton, Robert C, 1987. "A Simple Model of Capital Market Equilibrium with Incomplete Information," Journal of Finance, American Finance Association, vol. 42(3), pages 483-510, July.
    3. Maryam Farboodi & Adrien Matray & Laura Veldkamp & Venky Venkateswaran, 2022. "Where Has All the Data Gone?," The Review of Financial Studies, Society for Financial Studies, vol. 35(7), pages 3101-3138.
    4. Lesley Chiou & Catherine Tucker, 2017. "Search Engines and Data Retention: Implications for Privacy and Antitrust," NBER Working Papers 23815, National Bureau of Economic Research, Inc.
    5. Timothy F. Bresnahan & Erik Brynjolfsson & Lorin M. Hitt, 2002. "Information Technology, Workplace Organization, and the Demand for Skilled Labor: Firm-Level Evidence," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 117(1), pages 339-376.
    6. Eduardo Dávila & Cecilia Parlatore, 2018. "Identifying Price Informativeness," NBER Working Papers 25210, National Bureau of Economic Research, Inc.
    7. Charles I. Jones & Christopher Tonetti, 2020. "Nonrivalry and the Economics of Data," American Economic Review, American Economic Association, vol. 110(9), pages 2819-2858, September.
    8. Admati, Anat R & Pfleiderer, Paul, 1990. "Direct and Indirect Sale of Information," Econometrica, Econometric Society, vol. 58(4), pages 901-928, July.
    9. Maryam Farboodi & Dhruv Singal & Laura Veldkamp & Venky Venkateswaran, 2022. "Valuing Financial Data," NBER Working Papers 29894, National Bureau of Economic Research, Inc.
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    Cited by:

    1. Liting Fang & Zhaohua Li, 2024. "Corporate digitalization and green innovation: Evidence from textual analysis of firm annual reports and corporate green patent data in China," Business Strategy and the Environment, Wiley Blackwell, vol. 33(5), pages 3936-3964, July.

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    More about this item

    Keywords

    Data economy; Data valuation; Data barter; Asset pricing;
    All these keywords.

    JEL classification:

    • G12 - Financial Economics - - General Financial Markets - - - Asset Pricing; Trading Volume; Bond Interest Rates
    • E01 - Macroeconomics and Monetary Economics - - General - - - Measurement and Data on National Income and Product Accounts and Wealth; Environmental Accounts

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