Market equilibrium with FSS search

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Market equilibrium with FSS search

It is acknowledged that in the trading of homogeneous goods there is persistent price dispersion. However, it is theoretically derived that if buyers are optimizers there is no price dispersion. This negative result motivates the emergence of alternative paths in the literature that studies price dispersion. In Burdett and Judd’s seminal work, buyers follow the sub-optimal fixed sample size sea...

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ژورنال

عنوان ژورنال: Applied Economics Letters

سال: 2004

ISSN: 1350-4851,1466-4291

DOI: 10.1080/1350485042000221616