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305-1.pdf

305-1.pdf
Preview of 305-1
🔗 Source: rationality-and-competition.de
📊 Size: 448 KB
📄 Pages: 44 pages
⬇️ Downloads: 42

Summary

Firms exploit "cursed" consumers who fail to be skeptical about undisclosed product quality, particularly in duopoly markets with vertical differentiation, few cursed consumers, and high average product quality. Common consumer protection policies like mandatory disclosure, third-party disclosure, and consumer education may increase exploitation and decrease welfare, even if they improve overall welfare, often reducing consumer surplus.

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Description

Firms exploit "cursed" consumers who fail to be skeptical about undisclosed product quality, particularly in duopoly markets with vertical differentiation, few...

Technical Information

  • File Format: PDF
  • File Size: 448 KB
  • Pages: 44
  • Language: EN
  • Total Downloads: 42
  • Last Updated: 3 hours ago

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