An Empirical Study of the Effect of the Internet on Fares in the U.S. Airline Industry
An Empirical Study of the Effect of the Internet on Fares in the U.S. Airline Industry
A reduction in search costs is generally believed to make markets more competitive. However, the effect may be mitigated or amplified if consumers must pay costs for switching products. This paper investigates how search costs affect prices in the presenc
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