seller is limited to offering a finite number n of d-dimensional choices. By using repeated scalar quantization, we show that … introduce vector quantization and establish that the losses due to finite menus are significantly reduced by offering optimally …

on optimal quantization, but almost exclusively focused onits theoretical properties. In this paper, (i) we discuss its … nearest-neighbor competitors. Monte Carlostudies reveal that the quantization-based estimator competes well in all cases and …