Despite the mixed empirical evidence, many economists still hold to the view that Internet will promote competition …

Clearinghouse models of online pricing---such as Varian (1980), Rosenthal (1980), Narasimhan (1988), and Baye … information to make online purchases. These models predict that the responsiveness of a firm's demand to a change in its price …'s location on the screen and relative ranking in the list of prices are important determinants of an online retailer's demand. We …

There have been many claims that the Internet represents a new nearly "frictionless market." Our research empirically … analyzes the characteristics of the Internet as a channel for two categories of homogeneous products---books and CDs. Using a … data set of over 8,500 price observations collected over a period of 15 months, we compare pricing behavior at 41 Internet …