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number of clicks, 53% to higher costs for search engine marketing, and 37% to lower profits. Quality improvements lead to … search engine marketing costs and profits. Finally, the results indicate that advertisers benefit if they lower their bids …
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We analyze a large-scale randomized field experiment in which a search engine varied the prominence of search ads for 3.3 million US users: one group of users saw the status quo, while the other saw a lower level of advertising (with prominence of search ads decreased). Revealed preference data...
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