We propose and study a threshold utility model (TUM) where consumers buy any product whose net utility exceeds a non-negative, product-specific threshold. The thresholds are selected to maximize the expected surplus of the representative consumer subject to a bound on the expected number of...

A new dataset of 1,948 retail stores in India compiled by the World Bank's Enterprise Surveys shows that 27% of the stores find labor regulations as a problem for their business. Using these data we analyze the effect of labor regulations on employment at the store level. We find that stricter...