Using airline-booking data from Sabre, this article documents the proportion of passengers who drive and fly from a hub airport, rather than take a commuter flight. If fewer passengers leaked to a hub, community airports would have more enplanements. Price and quality factors affecting leaks are...

Using bilateral bargaining data from laboratory experimental markets, this paper demonstrates how common knowledge about price averages from past bargains impacts current negotiated prices. This common information creates an endogenous and declining anchor for bargaining agents. The culture of...