While our leaders influence us by placing hope or fear at the center of the election campaign, every investor in the market takes buy-sell decision based on the hope of gain or fear of loss. No assets are sold or bought without the associated emotion of gaining or losing. Hope of gaining...

This paper develops and estimates a structural model of differentiated-products demand in an environment with in-store displays and costly consumer price search. This investigation is motivated by two stylized facts on retail markets. First, the prevalence of retail “sales” means that...