incumbent can use both price and advertising as signals. I show that potential entry is socially beneficial and that the … separating equilibrium may involve a positive amount of "dissipative" advertising. …

This paper is the first to estimate the impact of exposure to deceptive advertising on consumption of the advertised … advertising is rampant and products are generally ineffective with potentially serious side effects. We control for the targeting … exposure to deceptive advertising is associated with a lower probability that women, and a higher probability that men, consume …

This paper develops a model of pricing and advertising in a matching environment with capacity constrained sellers …. Sellers' expenditure on directly informative advertising attracts consumers only probabilistically. Consumers who happen to … maximizing advertising levels are derived and their properties analyzed, including the interplay of prices and advertising with …

Advertising is commonly regarded as a strategic tool to increase demand and steal business from competitors. The … present work studies the competitive effects of advertising in a two-period game with incomplete information about the … the post-entry game is independent of the pre-entry advertising decision. Assuming that pre-entry advertising by an …

In this paper we consider a two-stage duopoly game where firms first decide whether to invest in advertising and then … compete in prices. Advertising has two effects: a market enlargement for both firms and a predatory gain for the investing … investment in advertising and that strong product substitutability may induce a coordination problem. …

simultaneously choose whether to advertise or not. Advertising increases the own immediate sales, but may also cause an externality …