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 rese...

We study the price of anarchy of a simple budget-balanced trading mechanism for multiple divisible goods in markets containing both producers and consumers (i.e. two-sided markets). Each producer is asked to submit a linear pricing function that specifies a per-unit price p(d) as a function of the demand d that it faces. Consumers then buy their preferred resource amounts at these prices. We pr...

Understanding how consumers respond to electricity prices is essential for predicting the effects of climate change policy and other policies that target electricity markets. To date, studies of long-run electricity demand have relied on price changes that are transient or endogenous, and none have utilized experimental or quasi-experimental variation. We study the dynamics of residential elect...

Elasticities of demand and supply for South African manufactured exports are estimated using a vector error correction model in order to address simultaneity and non-stationarity issues. Demand is highly price-elastic, with elasticities ranging from –3 to –6. The price elasticity of supply is generally about 1, but some estimates are as low as 0.35. Competitors’ prices and world income are impo...

This paper derives estimates of the demand for dental care among the U.S. population 65 years of age and over. The analysis is unique in that it focuses on a segment of the population with particular relevance to future policy regarding dental insurance coverage and distinguishes determinants of dental care demand by type of service. The empirical estimates suggest that the use of dental servic...

We introduce an easily implemented and flexible calibration technique for partial demand systems, combining recent developments in incomplete demand systems and a set of restrictions conditioned on the available elasticity-estimates. The technique accommodates various degrees of knowledge on cross-price elasticities, satisfies curvature restrictions, and allows the recovery of an exact welfare ...

This study estimates household demand for finfish in the United States using a limited dependent variable model that accounts for both participation and consumption decisions and also accommodates nonnormal and heteroskedastic errors. Results suggest that own-price elasticity is near unitary and income elasticity is small. Price of finfish, shopping frequency, Northeast, Black and other non-Whi...

Zimmerman (1995) notes that the two most frequently observed transfer pricing methods are market price transfer pricing and full cost transfer pricing. Under the …rst of these, the transfer price observed by the local manager is the marginal cost plus a markup over marginal cost which re‡ects the price elasticity of demand of the product in an external market. This markup will be denoted j and ...

Behavioral economic demand curves, or quantitative representations of drug consumption across a range of prices, have been used to assess motivation for a variety of drugs. Such curves generate multiple measures of drug demand that are associated with cigarette consumption and nicotine dependence. However, little is known about the relationships among these facets of demand. The aim of the stud...