Showing 1 - 10 of 1,954
This paper analyzes sin goods consumption when individuals exhibit present-focused preferences. It considers three types of present focus: present-bias with varying degrees of naiveté, Gul-Pesendorfer preferences, and a dual-self approach. We investigate the incentives to deviate from healthy...
Persistent link: https://www.econbiz.de/10012836009
skewed risks. We show that salience theory of choice under risk can explain this preference for positive skewness, because … unlikely, but outstanding payoffs attract attention. In contrast to alternative models, however, salience theory predicts that … preferences—typically attributed to cumulative prospect theory—are more naturally accommodated by salience theory …
Persistent link: https://www.econbiz.de/10012892170
Reporting private information is a key part of economic decision making. A recent literature has found that many people have a preference for honest reporting, contrary to usual economic assumptions. In this paper, we investigate whether preferences for honesty are malleable and what determines...
Persistent link: https://www.econbiz.de/10013231961
We present the results of a randomized intervention to study how teaching financial literacy to 16-year old high-school students affects their behavior in risk and time preference tasks. Compared to two different control treatments, we find that teaching financial literacy makes subjects behave...
Persistent link: https://www.econbiz.de/10014350763
We experimentally study decentralized one-to-one matching markets with transfers. We vary the information available to participants, complete or incomplete, and the surplus structure, supermodular or submodular. Several insights emerge. First, while markets often culminate in efficient...
Persistent link: https://www.econbiz.de/10013250740
We investigate the strategies of a data intermediary selling consumer information to firms for price discrimination purpose. We analyze how the mechanism through which the data intermediary sells information influences how much consumer information she will collect and sell to firms, and how it...
Persistent link: https://www.econbiz.de/10012832202
We study competition among market designers who create new trading platforms, when boundedly rational traders learn to select among them. We ask whether efficient platforms, leading to market - clearing trading outcomes, will dominate the market in the long run. If several market designers are...
Persistent link: https://www.econbiz.de/10013317023
We show that in successful episodes of export market entry, there are statistically and economically significant post-entry dynamics of quantities, but no post-entry dynamics of markups. This suggests that shifts in demand play an important role in successful entry, but that firms do not use...
Persistent link: https://www.econbiz.de/10012841929
High-performance firms typically have two features in common: i) they produce in more than one country and ii) they produce more than one product. In this paper, we analyze the internationalization strategies of multi-product firms at the product-level. We find that the most productive firms...
Persistent link: https://www.econbiz.de/10012825997
Our novel approach to modeling monopolistic competition with heterogeneous consumers involves a space of characteristics of a differentiated good (consumers' ideal points), alike Hotelling (1929). Firms have heterogeneous costs à la Melitz (2003). In addition to price setting, each firm also...
Persistent link: https://www.econbiz.de/10012841747