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dynamic model for estimating demand when costs (and hence prices) are declining over time. When then estimate it empirically …
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We develop a model of firm size in which firms are unable to access as many consumers as they want. Nwely arrived consumers match randomly with firms. Subsequently consumers must pay "search costs"to be able to switch firms.
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A panel study reveals that an increase in pretax income equality leads to sudstantially lower retail prices. Prices … also fall if the income tax on high income families is raised. One explanation is that equality makes consumer demand more … retail markets. …
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In many decision scenarios, one has to choose an element from a set S given some reference point e. For the case where S is a subset of the Euclidean space , we axiomatize the choice method that selects the point in S that is closet to e.
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