The widespread adoption of activity-based costing enables firms to allocate common service costs to each customer, allowing for precise measurement of both the cost to serve a particular customer and the customer's profitability. In this paper, we investigate how pricing strategies based on...

Many of the options available to decision makers, such as college majors and romantic partners, can become unavailable if sufficient effort is not invested in them (taking classes, sending flowers). The question asked in this work is whether a threat of disappearance changes the way people value...