A well-known shortcoming of rational voter models is that the equilibrium probability that an individual votes converges to zero as the population of citizens tends to infinity. We show that this does not - as is often suggested - imply that equilibrium voter turnout is insignificant in the...

We present a theory of strategic voting that predicts elections are more likely to be close and voter turnout is more likely to be high when citizens possess better public information about the composition of the electorate. These findings are disturbing because they suggest that providing more...

At the height of the Covid-19 pandemic, consumers stockpiled common household items in expectation of shortages and rising prices. In this paper, we explore the interaction of consumer stockpiling with monopoly pricing in the face of a supply disruption. If consumers can store the good, they...

We study a dynamic principal agent model of fraud and evolution of trust. The principal has limited power of commitment and wishes to accept a real project and reject a fake. The agent is either an ethical type that produces only a real project, or a strategic type that also has the ability to...

The common marketing practice of offering subscribers enticements to switch suppliers is explored. It is shown that this type of price discrimination is the natural mode of competition in subscription markets such as long distance telephony and banking and that it prevails even when the industry...

We study mass customization in a duopoly game in which the firms' products have different qualities. Whether customization choices are made simultaneously or sequentially is endogenously determined. Specifically, the customization stage of the game involves two periods. Each firm either selects...

We study customization in the Hotelling model with two firms. In addition to providing ideal varieties, the perceived uniqueness of a customized product contributes independently to consumer utility. We show that only when consumer preferences for uniqueness are high customization occurs in...

This paper applies the theories of exposure order effects, developed in the psychology literature, to an industrial organization model to explore their role in advertising competition. There are two firms and infinitely many identical consumers. The firms produce a homogeneous product and...

We consider a duopoly market with heterogenous consumers. The firms initially produce vertically differentiated standard products located at the end points of the variety interval. Customization provides ideal varieties for consumers but has no effect on quality. The firms first choose whether...