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Laissez Faire Googlenomics

By Published on .

So you're spending a chunk of change to advertise on/with/through Google, but you're a bit concerned about click fraud? Well, you'd better learn to live with both your concern and with click fraud.

According to Donna Bogatin, "Google CEO Eric Schmidt believes there is a 'perfect economic solution' to click fraud: 'let it happen.'"

Schmidt seems to see click fraud as a cost of doing business and sees Google's auction system as self-correcting. In other words, if click fraud becomes rampant, the value of the ads will go down.
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