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Using the classical sequential search framework by Anderson and Renault (1999), this paper lets consumers search partially and shows that (1) consumers optimally search products at a partial depth when search cost is large, and (2) due to partial depth, firms’ prices and consumer surplus are...
Persistent link: https://www.econbiz.de/10013298044
Using the classical sequential search framework by Anderson and Renault (1999), this paper lets consumers search partially and shows that (1) consumers optimally search products at a partial depth when search cost is large, and (2) due to partial depth, firms’ prices and consumer surplus are...
Persistent link: https://www.econbiz.de/10013298046