The Business of Fun: Economics in the Gaming Industry
The algorithmic targeting of vulnerable demographics in mobile gaming—particularly minors subjected to behaviorally micro-segmented ad campaigns—raises critical deontological concerns under frameworks such as Kantian autonomy principles and Nudge Theory’s libertarian paternalism. Neuroimaging studies reveal that loot box interfaces activate adolescent prefrontal cortex regions associated with impulsive decision-making at 2.3x the intensity of adult cohorts, necessitating COPPA (Children’s Online Privacy Protection Act) compliance audits and “dark pattern” design prohibitions. Implementing the FTC’s Honest Ads Standard through mandatory spending transparency dashboards and addiction risk labeling could reconcile ARPPU (Average Revenue Per Paying User) optimization with Rawlsian distributive justice in player welfare.
