Bose, Subir; Orosel, Gerhard O.; Vesterlund, Lise - 2002
We consider a monopolist who sells identical objects of common but unknown value in a herding-prone environment. Buyers … monopolist's optimal pricing strategy and its implications for the temporal pattern of prices and for herding. The analysis is … performed under alternative assumptions about observability of prices. We find that when previous prices are observable, herding …