Showing 1 - 10 of 318
Asymmetric information can distort market outcomes. I study how the online disclosure of information affects consumers' behavior and firms' incentives to upgrade product quality in markets where information is traditionally limited. I first build a model of consumer search with firms' endogenous...
Persistent link: https://www.econbiz.de/10013285520
Defense spending accounts for a large share of the budget in many countries, but the value of the resulting public good - national defense - has so far escaped assessment. Much of the literature has instead considered indirect benefits of defense spending in terms of greater economic growth or...
Persistent link: https://www.econbiz.de/10014450765
The sustainability of the welfare state ultimately depends on citizens' preferences for income redistribution. They are elicited through a Discrete Choice Experiment performed in 2008 in Switzerland. Attributes are redistribution as GDP share, its uses (the unemployed, old-age pensioners, people...
Persistent link: https://www.econbiz.de/10003997641
Convenient scheduling, characterized by adequate flight frequency, is the main quality attribute for airline services …. However, the effect of airline alliances on this important dimension of service quality has received almost no attention in …
Persistent link: https://www.econbiz.de/10011900765
This paper investigates strategic interaction among airlines in product-quality choices. Using an instrumental … variables approach, the paper estimates flight-frequency reaction functions, which relate an airline's frequency on a route to … its own characteristics and to the frequencies of competing airlines. A positive reaction function slope is found in some …
Persistent link: https://www.econbiz.de/10009690744
Persistent link: https://www.econbiz.de/10003379804
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We investigate whether legacy U.S. airlines communicated via earnings calls to coordinate with other legacy airlines in … among airlines about their capacity choices. Estimates from our preferred specification show that when all legacy airlines … reduction materializes only when airlines communicate concurrently, and that it cannot be explained by other possibilities …
Persistent link: https://www.econbiz.de/10012171806
This paper provides theory and evidence on airline bag fees, offering insights into a real-world case of product … unbundling. The theory predicts that an airlineś fares should fall when it introduces a bag fee, but that the full trip price …
Persistent link: https://www.econbiz.de/10009793154
Airline fuel consumption is costly for the firms and for society as well due to a climate-change externality. We study … how fuel price changes affect cost-minimizing choices by airlines that have implications for the extent of this … externality. The airline industry's capital stock can be easily inventoried as a set of long-lived, durable aircraft. This …
Persistent link: https://www.econbiz.de/10014289750