Since the seminal work of Stigler in 1962, economists have recognized that information is costly to acquire and leads to “search frictions.” Growth in online search has lowered the cost of information acquisition. We analyze the expansion of the website Craigslist, which allows users to post...

We investigate whether the first digit of an odometer reading is more salient to consumers than subsequent digits. We find that retail transaction prices and volumes of used vehicles drop discontinuously at 10,000-mile odometer thresholds, echoing effects found in the wholesale market by...