Rigid pricing and rationally inattentive consumer

Kód výsledku v IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F67985998%3A_____%2F15%3A00445750" target="_blank" >RIV/67985998:_____/15:00445750 - isvavai.cz</a>

Nalezeny alternativní kódy

RIV/00216208:11640/15:00455390

Výsledek na webu

<a href="http://dx.doi.org/10.1016/j.jet.2015.01.021" target="_blank" >http://dx.doi.org/10.1016/j.jet.2015.01.021</a>

DOI - Digital Object Identifier

<a href="http://dx.doi.org/10.1016/j.jet.2015.01.021" target="_blank" >10.1016/j.jet.2015.01.021</a>

Jazyk výsledku

angličtina

Název v původním jazyce

Rigid pricing and rationally inattentive consumer

Popis výsledku v původním jazyce

This paper proposes a mechanism leading to rigid pricing as an optimal strategy. It applies a framework of rational inattention to study the pricing strategies of a monopolistic seller facing a consumer with limited information capacity. The consumer needs to process information about the realized price, while the seller is perfectly attentive. The seller chooses to price rigidly, i.e. prices respond to changes in the unit input cost less than if the consumer was perfectly attentive. The rigidity is sometimes manifested by discreteness of prices ? the seller charges a finite set of different prices even for a continuous range of unit input costs. The seller does so to provide the consumer with easily observable prices, which stimulates her to consume more and increases the seller's profit.

Název v anglickém jazyce

Rigid pricing and rationally inattentive consumer

Popis výsledku anglicky

This paper proposes a mechanism leading to rigid pricing as an optimal strategy. It applies a framework of rational inattention to study the pricing strategies of a monopolistic seller facing a consumer with limited information capacity. The consumer needs to process information about the realized price, while the seller is perfectly attentive. The seller chooses to price rigidly, i.e. prices respond to changes in the unit input cost less than if the consumer was perfectly attentive. The rigidity is sometimes manifested by discreteness of prices ? the seller charges a finite set of different prices even for a continuous range of unit input costs. The seller does so to provide the consumer with easily observable prices, which stimulates her to consume more and increases the seller's profit.

Druh

J_x - Nezařazeno - Článek v odborném periodiku (Jimp, Jsc a Jost)

CEP obor

AH - Ekonomie

OECD FORD obor

—

Projekt

—

Návaznosti

I - Institucionalni podpora na dlouhodoby koncepcni rozvoj vyzkumne organizace

Rok uplatnění

2015

Kód důvěrnosti údajů

S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Název periodika

Journal of Economic Theory

ISSN

0022-0531

e-ISSN

—

Svazek periodika

158 B

Číslo periodika v rámci svazku

July

Stát vydavatele periodika

US - Spojené státy americké

Počet stran výsledku

23

Strana od-do

656-678

Kód UT WoS článku

000358469700009

EID výsledku v databázi Scopus

2-s2.0-84931011201