Elasticity of demand for search
نویسندگان
چکیده
This paper investigates the demand elasticity of search. We provide a new characterization of monotone hazard rate and of the first-order condition determining the optimal reservation price, and prove that the demand for information is elastic if the hazard rate function h for the distribution of offers is decreasing and inelastic if h is increasing. 2000 Elsevier Science S.A. All rights reserved.
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