Kézdi, Gábor; Csorba, Gergely - In: Journal of Industry, Competition and Trade 13 (2013) 3, pp. 431-452
This paper proposes a practical method for estimating consumer lock-in effects from firm-level data. The method compares the behavior of already contracted consumers to the behavior of new consumers, the latter serving as a counterfactual to the former. In panel regressions on firms’ incoming...