Spurious Complexity and Common Standards in Markets for Consumer Goods
نویسندگان
چکیده
منابع مشابه
Spurious complexity and common standards in markets for consumer goods
It has been argued that cognitively constrained consumers respond suboptimally to complex decision problems, and that firms can exploit these limitations by introducing spurious complexity into tariff structures, weakening price competition. We model a countervailing force. Restricting one’s choices to the most easily comparable options is a psychologically well-attested heuristic. Consumers wh...
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ژورنال
عنوان ژورنال: Economica
سال: 2011
ISSN: 0013-0427
DOI: 10.1111/j.1468-0335.2011.00895.x