We analyze price dispersion using panel data from a large price comparison site. We use past pricing behavior to … greater price adjustment costs result in greater price dispersion. Although the impact of price adjustment costs on price … dispersion became weaker over time, the causal effect of price adjustment costs on price dispersion is still present at the end …

We analyze price dispersion using panel data from a large price comparison site. We use past pricing behavior to … greater price adjustment costs result in greater price dispersion. Although the impact of price adjustment costs on price … dispersion became weaker over time, the causal effect of price adjustment costs on price dispersion is still present at the end …

In this paper, we first develop a game theoretic model of price competition between a pure play e-tailer and a bricks …-and-clicks e-tailer. We show that in general, the pure play e-tailer has a lower equilibrium price. We then develop a simultaneous … equation model of e-tailer price and traffic and estimate this model using data collected from 905 e-tailers across eight …

for each match rather than engage in price discrimination, and this entire fee should be levied on the less elastic side …

Prices that end with 9, also known as psychological price points, are common, comprising about 70% of the retail prices … price ending that has the same effects as 9-endings. In January 2014, the Israeli government passed a new regulation …. Thus, 90-ending prices became the new psychological price points, partially eliminating the regulation's intended effect. …

Macroeconomic models often generate nominal price rigidity via menu costs. This paper provides empirical evidence that … facts: (1) price points, embodied in nine-ending prices, account for approximately two-thirds of prices; and (2) at the … that nests roles for menu costs and price points and estimate model variants. Excluding the two facts yields a …

We study the price rigidity of regular and sale prices, and how it is affected by pricing formats (i.e., pricing … strategies). We use data from three large Canadian stores with different pricing formats (Every-Day-Low-Price, Hi-Lo, and Hybrid … regular prices as displayed on the store shelves. We combine these data with two “generated” regular price series (filtered …

Macroeconomic models often generate nominal price rigidity via menu costs. This paper provides empirical evidence that … empirical facts: (1) price points, embodied in nine-ending prices, account for more than 60 percent of prices; (2) at the … nests roles for menu costs and price points and estimate model variants via simulated method of moments. Excluding the two …