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Personal privacy is studied in the context of a competitive product (or labor) market. In the first stage of the game, firms that sell homogeneous goods or services (e.g., insurance, credit, or rental housing) post prices they promise to charge approved applicants. In the second stage, each...
Persistent link: https://www.econbiz.de/10014078120
provided to UK households by mortgage brokers. Using administrative data on loans originating in 2016 and 2017, we document the … average monthly mortgage costs by 21%, and welfare losses arising from search frictions by 70% – although the results differ …’ markups and lowers monthly costs of an average mortgage by 4.4% …
Persistent link: https://www.econbiz.de/10013290340
We model a competitive labor market with heterogeneous firms of varying productivities, and consider two information-collection processes: searching for "good news" about applicants, and searching for "bad news." Under the former, firms seek positive signals to qualify applicants, and under the...
Persistent link: https://www.econbiz.de/10013061024
Persistent link: https://www.econbiz.de/10003992790
This paper considers incentives for information acquisition ahead of conflicts. First, we characterize the (unique) equilibrium of the all-pay auction between two players with one-sided asymmetric information where one player has private information about his valuation. Then, we use ou rresults...
Persistent link: https://www.econbiz.de/10003950481
Bertrand competition, if the firms have sufficiently flat information acquisition cost functions. For steeper cost functions …
Persistent link: https://www.econbiz.de/10014061803
This paper analyzes how data-driven vertical integration between a platform and one downstream seller affects market outcomes in a two-sided market where sellers with asymmetric targeting skills target advertisements to individuals who have varying privacy concerns. I show that data-driven...
Persistent link: https://www.econbiz.de/10012854476
English Abstract: Financial liberalization accelerates global banks’ entry into new markets where host countries hope to spur investment and economic growth. However, banks sometimes retreat from their global ambitions and exit these new markets. This study demonstrates how difficulties of...
Persistent link: https://www.econbiz.de/10012607039
This paper studies screening competition under flexible information acquisition and its interaction with price … competition. Multiple homogeneous buyers play a game where they simultaneously design independent exams with pre …
Persistent link: https://www.econbiz.de/10012823501
An incumbent monopolist is uncertain about its linear demand, but can acquire information at a cost. We determine how an entry threat affects the firm's information acquisition. This effect depends on what the entrant observes about the incumbent's information choice. We consider all four...
Persistent link: https://www.econbiz.de/10014119111