This paper presents a linear-city model where firms compete on price and levels of advertising, which affects the perceived utility of products. More cost efficient firms extend their advantage with more advertising, which leads to higher profits, if advertising is sufficiently effective. We...

This paper presents a linear-city model where firms compete on price and levels of advertising, which affects the perceived utility of products. More cost efficient firms extend their advantage with more advertising, which leads to higher profits, if advertising is sufficiently effective. We...

This book presents a number of recent developments in demand analysis. These include new, simple data-analytic techniques for analysing consumption data; new tests based on computer simulations for hypothesis testing; new methodological results on how to estimate demand equations; innovative...