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The use of coarse categories is prevalent in various situations and has been linked to biased economic outcomes, ranging from discrimination against minorities to empirical anomalies in financial markets. In this paper we study economic rationales for categorizing coarsely. We think of the way...
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We build a game-theoretic model to examine how better demand forecasting due to algorithms, machine learning and artificial intelligence affects the sustainability of collusion in an industry. We find that while better forecasting allows colluding firms to better tailor prices to demand...
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In large cities with harbors or rivers, ferry services have been an important part of public transport. In practice, many ferry terminals are subject to geographical and environmental conditions, limited space resources of the terminal pool, narrow navigable waters of ships, which leads to...
Persistent link: https://www.econbiz.de/10013311453
In large cities with harbors or rivers, ferry services have been an important part of public transport. In practice, many ferry terminals are subject to geographical and environmental conditions, limited space resources of the terminal pool, narrow navigable waters of ships, which leads to...
Persistent link: https://www.econbiz.de/10013312090
consensus values. Strategic coordination can consequently explain poor performances of prediction markets as resulting from the … robustness of coordination in a forecasting setting implementing contradictory incentives for accurate forecasts and coordination …. Forecasts are shown to be inaccurate and biased toward current values. This in turn has subjects aiming at coordination benefits …
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