Search Costs and Context Effects

• 成果类型: Article
• 署名作者: Karle, Heiko; Kerzenmacher, Florian; Schumacher, Heiner; Verboven, Frank
• 署名单位: Centre for Economic Policy Research - UK; Leibniz Association; Ifo Institut; University of Innsbruck; KU Leuven
• 刊物名称: AMERICAN ECONOMIC JOURNAL-MICROECONOMICS
• ISSN/ISSBN: 1945-7669
• DOI: 10.1257/mic.20240115
• 发表日期: 2025
• 页码: 127-161
• 关键词: consumer search; price dispersion; risk attitudes; buyer search; SALIENCE; internet; MODEL; preferences; strategies; ECONOMICS

摘要

Empirical search cost estimates are often large and increasing in the size of the transaction. We conduct an online search experiment in which we manipulate the price scale while keeping the physical search effort per price quote constant. Additionally, we obtain a direct measure of subjects' opportunity costs of time. Using a standard search model, we confirm that search cost estimates are large and increasing in the price scale. We then modify the model to incorporate context effects with respect to prices. This results in search cost estimates that are scale independent and correspond well to subjects' opportunity costs of time. (JEL C91, D12, D81, D83, D91)