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We introduce consumers with intrinsic privacy preferences into the monopolistic non-linear pricing model. Next to … classical consumers, there is a share of data-sensitive consumers who incur a privacy cost if their purchase reveals information … to the monopolist. The monopolist discriminates between privacy types using privacy mechanisms which consist of a direct …
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We study a model of financial intermediation, payment choice, and privacy in the digital economy. Cash preserves …
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information about individuals. This has led to public discussions on whether individuals' privacy should be better protected by … contribute to this discussion by proposing a Bayesian approach to measure loss of privacy in a mechanism. Specifically, we define … the loss of privacy associated with a mechanism as the difference between the designer's prior and posterior beliefs about …
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