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I study a model of oligopolistic competition in which consumers search for prices, but have no idea about the underlying price distribution. Consumers' behaviour satisfies four consistency requirements such that beliefs about the underlying distribution maximize Shannon entropy. I derive the...
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exploration and lower individual and group payoffs. We test our predictions in an online lab experiment and show that the …
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We run a market experiment where firms can choose not only their price but also whether to present comparable offers …
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