We study the estimation of preference heterogeneity in markets where consumers engage in costly search to learn product characteristics. Costly search amplifies the way consumer preferences translate into purchase probabilities, generating a seemingly large degree of preference heterogeneity. We...

Researchers are increasingly able to observe consumers’ behavior prior to a purchase, such as their navigation through a store or website and the products they consider. Such pre-purchase (or search) data can be valuable to researchers in a variety of ways: as an additional source of...

Researchers are increasingly able to observe consumers' behavior prior to a purchase, such as their navigation through a store or website and the products they consider. Such pre-purchase (or search) data can be valuable to researchers in a variety of ways: as an additional source of information...