Using a unique data set, we test whether households' deductible choices in auto and home insurance reflect stable risk preferences. Our test relies on a structural model that assumes households are objective expected utility maximizers and claims are generated by household-coverage specific...

In several markets, firms compete not for consumer expenditure but instead for consumer attention. We model and characterize how households allocate their scarce attention in arguably the largest market for attention: the Internet. Our characterization of household attention allocation operates...

In this paper, I outline possibilities and limitations for the scope and performance of predictive analytics within a simple paradigm. I do this by first bifurcating predictive analytics into two categories, passive and active. I contrast this categorization with current alternatives and...

Many durable goods, particularly in the high technology sector of the economy, experience rapid quality improvement. As a result, replacement is typically due to obsolescence rather than breakdown, and replacement cycles are relatively short. When these goods are vertically differentiated,...

We examine the impact of multimarket contact on on-time performance in the airline industry. Using flight-level data for more than 3.5 million flights, we find that increases in multimarket contact lead to increases in delays, and this result is robust to several delay measures and the inclusion...

This paper measures cross-price elasticity for online and retail personal computers (PCs) across several years. The results indicate that cross-price elasticity for 1996 and 1997 was a statistical 0, while in 1998 it was large and statistically significant (approximately 3.0). I consider both...

We examine if and how incumbent firms respond to entry and entry threats using non-price modes of competition. Our analysis focuses on airline service quality. We find that incumbent on-time performance (OTP) actually worsens in response to entry, and even entry threats, by Southwest Airlines....

We examine the relationship between domestic air travel and the spread of COVID-19 during the first wave of the pandemic in the U.S. To do this, we link airline passenger flows with COVID-19 infection and mortality data, controlling for county-level population and demographic data. We examine...

This paper analyses the rapid diffusion of the Internet across the United States over the past decade for both households and firms. We put the Internet's diffusion into the context of economic diffusion theory where we consider costs and benefits on the demand and supply side. We also discuss...