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One of the basic assumptions of standard economic theory is that individuals' behavior is solely guided by the quest …
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Better informed consumers may be treated preferentially by firms since their consumption serves as a quality signal for other customers. For normal goods this results in wealthy individuals being treated better than poor individuals. We investigate this phenomenon in an equilibrium model of...
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We test an information theory of prosocial behavior whereby ego utility and self-signaling crowd out the effect of …
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