By using a unique data set that contains detailed information about consumer payment choice and consumers' attitudes toward each payment method, we estimate the effects of payment card rewards on consumer choice of payment methods. Our approach allows us to control for consumer heterogeneity. We...

By using a unique data set that contains detailed information on consumer perceived attributes of payment methods and consumer perceived acceptance of payment methods by merchants, we estimate the direct effects of rewards card programs on consumer payment choice for in-store transactions. Our...

In this paper, we develop an empirical demand model and an estimation strategy that can account for excess demand, and the unobserved component of product quality. Our methodology allows us to quantify the extent of rationing, price and quality elasticities, and shed light on the potential...