Bose, Subir; Orosel, Gerhard O.; Vesterlund, Lise - University of Vienna, Department of Economics - 2001
We consider a monopolist who sells indetical objects of common but unknown value in a herding-prone environment. Buyers make their purchasing decisions sequentially, and rely on a private signal as well as previous buyers´actions to infer the common value of the object. The model applies to a...