In this paper we introduce a new type of experiment that combines the advantages of lab and field experiments. The … experiment is conducted in the lab but using an unchanged market environment from the real world. Moreover, a subset of the … experiment to study seller behavior in online auctions with a Buy-It-Now feature, where early potential bidders have the …

consumer surplus. We relate our findings to competition cases in digital markets. …

consumption by rendering brands a signalling device. In a price competition framework, we show that advertising increases … advertising, and competition might be socially undesirable. …