This paper highlights how the provision of information about userparticipation can serve as a strategic marketing tool for firms seekingto grow two-sided exchange networks. A two-sided exchange network is abusiness model (such as Ebay or Craiglist) where revenue is generatedfrom persuading...

Mere observation of others' choices can be informative about product quality. This paper develops an individual-level dynamic model of observational learning and applies it to a novel data set from the U.S. kidney market, where transplant candidates on a waiting list sequentially decide whether...

“Behavior-based personalization” has gained popularity in recent years, whereby businesses offer personalized products based on consumers' purchase histories. This paper highlights two perils of behavior-based personalization in competitive markets. First, although purchase histories reveal...

Generalized likelihood ratio statistics have been proposed in Fan, Zhang and Zhang [Ann. Statist. 29 (2001) 153-193] as a generally applicable method for testing norparametic hypotheses about nonparametric functions. The likelihood ratio statistics are constructed based on the assumption that...

Likelihood ratio theory has had tremendous success in parametric inference, due to the fundamental theory of Wilks. Yet, there is no general applicable approach for nonparametric inferences based on function estimation. Maximum likelihood ratio test statistics in general may not exist in...

The empirical likelihood cannot be used directly sometimes when an infinite dimensional parameter of interest is involved. To overcome this difficulty, the sieve empirical likelihoods are introduced in this paper. Based on the sieve empirical likelihoods, a unified procedure is developed for...

While earlier empirical studies found a negative saving effect of old-age dependency rates without considering longevity, recent studies have found that longevity has a positive effect on growth without considering old-age dependency rates. In this paper, we first justify the related yet...