Similar Search Results

Market Diffusion with Two-Sided Learning

Bergemann, Dirk; Valimaki, Juuso - Cowles Foundation for Research in Economics, Yale University - 1996

The diffusion of a new product of uncertain value is analyzed in a duopolistic market in continuous time. The two sides of the market, buyers and sellers, learn the true value of the new product over time as a result of experimentation. Buyers have heterogeneous preferences over the products and...

Persistent link: https://www.econbiz.de/10005463873

Monopoly Pricing of Experience Goods

Bergemann, Dirk; Valimaki, Juuso - Cowles Foundation for Research in Economics, Yale University - 2004

learning and turnover among buyers. …

Persistent link: https://www.econbiz.de/10004990828

Market Experimentation and Pricing

Bergemann, Dirk; Valimaki, Juuso - Cowles Foundation for Research in Economics, Yale University - 1996

We present a continuous-time model of Bayesian learning in a duopolistic market. Initially the value of one product … externality leads to too much learning. Buyers do not consider the impact of their experimentation on other buyers while the … and allocations in this two-sided learning model. The analysis is presented for a finite number of buyers as well as for a …

Persistent link: https://www.econbiz.de/10005093954

The Financing of Innovation: Learning and Stopping

Bergemann, Dirk; Hege, Ulrich - Cowles Foundation for Research in Economics, Yale University - 2001

This paper considers the financing of a research project under uncertainty about the time of completion and the probability of eventual success. The uncertainty about future success gradually diminishes with the arrival of addtional funding. The entrepreneur controls the funds and can divert...

Persistent link: https://www.econbiz.de/10005087360

Experimentation in Markets

Bergemann, Dirk; Valimaki, Juuso - Cowles Foundation for Research in Economics, Yale University - 1999

We present a model of entry and exit with Bayesian learning and price competition. A new product of initially unknown …

Persistent link: https://www.econbiz.de/10005593440

The Financing of Innovation: Learning and Stopping

Bergemann, Dirk; Hege, Ulrich - C.E.P.R. Discussion Papers - 2001

This Paper considers the financing of a research project under uncertainty about the time of completion and the probability of eventual success. The uncertainty about future success diminishes gradually with the arrival of additional funding. The entrepreneur controls the funds and can divert...

Persistent link: https://www.econbiz.de/10005791971

The Financing of Innovation: Learning and Stopping

Bergemann, Dirk; Hege, Ulrich - Cowles Foundation for Research in Economics, Yale University - 2001

This paper considers the financing of a research project under uncertainty about the time of completion and the probability of eventual success. We distinguish between two financing modes, namely relationship financing, where the allocation decision of the entrepreneur is observable, and arm's...

Persistent link: https://www.econbiz.de/10005196057

The Design and Price of Information

Bergemann, Dirk - 2017

revenue-maximizing menu of experiments must satisfy. Every experiment is a non-dispersed stochastic matrix, and every menu … contains a fully informative experiment. In the cases of binary states and actions, or binary types, we provide an explicit …

Persistent link: https://www.econbiz.de/10012954846

The Design and Price of Information

Bergemann, Dirk - 2016

This paper analyzes the trade of information between a data buyer and a data seller. The data buyer faces a decision problem under uncertainty and seeks to augment his initial private information with supplemental data. The data seller is uncertain about the willingness-to-pay of the data buyer...

Persistent link: https://www.econbiz.de/10012986535

Bandit Problems

Bergemann, Dirk - 2006

We survey the literature on multi-armed bandit models and their applications in economics. The multi-armed bandit problem is a statistical decision model of an agent trying to optimize his decisions while improving his information at the same time. This classic problem has received much...

Persistent link: https://www.econbiz.de/10012783296