The focus of this study is on black markets which provide an important segment of the parallel economy. These markets operate in disequilibrium,search and information costs become very important.Trafficking in drugs taken as case, to explore both theoretically and empirically. The problem,...

This paper presents a sequential search model where consumers look for several products among competitive multiproduct �rms. In a multiproduct search mar- ket, both consumer behavior and �rm behavior exhibit di¤erent features from the single-product case: a consumer often returns to...

This paper presents a sequential search model where consumers look for sev- eral products from multiproduct �rms. In a multiproduct search market, both consumer behavior and �rm behavior are di¤erent from the single-product case. For example, a consumer may return to previously visited...

This paper studies the implications of consumer reference dependence in market competition. If consumers take some product (e.g., the first product they have considered) as the reference point in evaluating others and exhibit loss aversion, then the more "prominent" firm whose product is taken...

The objective of this paper is to study the implementation of an integrated system of information, based on Geographic Information Systems (GIS) technologies, on the fossil fuels market that can bring economic benefits to the consumers, create conditions for a more effective interview of the...

The process of consumption has generally been regarded as a result of economic inequality, not as a source of it. However, in this paper, I show that firms obtain economic rents from consumers in the process of consumption because firms manipulate consumers by placing “lawful” disinformation...

Spatial quality choice is introduced, where consumers are horizontally differentiated by taste and firms vertically differentiated by quality location, within an equilibrium model of duopoly competition characterized by asymmetric fixed and variable costs. Firms choose quality location followed...

Many products are made by technological processes that cause environmental damage. Current environmental concerns are affecting firms' technological processes as a result of government intervention in markets but also due to environmental awareness on the part of consumers. This paper assumes a...

This paper proposes a framework for studying how consumer search frictions affect retail market structure. In our model single-product firms which supply different products can merge to form a multiproduct firm. Consumers wish to buy multiple products and value the one-stop shopping convenience...

Economic analysis assumes that consumer behavior can be rationalized by a utility function. Previous research has shown that some decision-making quality can be captured by permanent cognitive ability but has not examined how a temporary load in subjects' working memory can affect economic...