Produkt
KlappentextWe analyze the effects of consumers limited attention on welfare in a model of horizontal product differentiation. We present a novel approach of modeling limited attention: an attention radius. Each consumer only notices goods that are within herattention radius, i.e., goods that are sufficiently similar to her preferred version of the good. Limited attention induces firms to differentiate their products in a way that is beneficial to consumers. In addition, prices may be lower under limited than under full attention. Consumer surplus and welfare are not maximized under full attention but increase for some degree of limited attention.
Details
ISBN/GTIN978-3-943153-64-4
ProduktartBuch
EinbandartKartoniert, Paperback
Erscheinungsjahr2019
Erscheinungsdatum15.01.2019
Reihen-Nr.143
Seiten27 Seiten
SpracheEnglisch
Artikel-Nr.46140369
Rubriken
GenreWirtschaft