Economic Review 79, 700–12] by relaxing the assumption that consumers obtain the first price quotation for free. When all price …

. Finally, a behavioral assumption on how consumers search provides a micro-foundation for consideration probabilities widely …

heterogeneity. In doing so, we dispense with the usual assumption that all consumers search at least once in equilibrium. This … important but often neglected aspect of the price mechanism. Recognizing the role the equilibrium price plays in consumers … participation - may be affected in opposing directions by a change in search costs. When search costs go up, fewer consumers decide …

heterogeneity. In doing so, we dispense with the usual assumption that all consumers search at least once in equilibrium. This … important but often neglected aspect of the price mechanism. Recognizing the role the equilibrium price plays in consumers …

In many markets consumers have imperfect information about the utility they derive from the products that are on offer … demand with optimal consumer search. Consumers first choose which products to search; then, once they learn the utility they … estimate is highly significant and indicates that consumers conduct a limited amount of search. Estimates of own- and cross …