Despite the mixed empirical evidence, many economists stillhold to the view that Internet will promote competition … view. We analyzethemarket for a homogeneous good where some consumers are fully informedwhile others are not. Depending on … these equilibria. For example, a reduction insearch cost may raise equilibrium prices when consumers' searchintensity is low …

The standard Walrasian equilibrium theory requires that the marginal value product of production factor such as labor … theory allegedly fills this gap by encompassing apparent disequilibrium phenomena in the neoclassical equilibrium framework …. Taking up Lucas and Prescott (1974) as a primary example, we show that the neoclassical search theory cannot explain the …

guarantees are notadvertised and only known to consumers when they come to the shop.We show that in such an environment, minimum … price guarantees increasethe value of buying the good and therefore increase consumers’ reservationprices. This increase is … so large that even after accounting for thefact that some consumers will buy at lower prices, firms profits are …

I provide an equilibrium analysis of 'selection markets': where consumers not only vary in how much they are willing to …

In this paper I argue that search theory is a useful addition to the way economists and geographers have approached the … decentralized employment the spatial search model predicts excess commuting. Search theory also suggests that regression towards the …

In recent years we may observe the growing importance of the Internet in the lives of consumers. As the data from … Central Statistical Office (GUS) shows, in 2015 approximately 75.8% of Polish households had access to the Internet. The value … of e-commerce is estimated at PLN 27 billion. 54% of Internet users buy in Polish e-shops and 13% in foreign internet …