The last decade has seen rapid advances in telecommunications technology in an
increasingly deregulated and competitive market place. Companies operating in these …

In the standard economic account of consumer behavior the cost of a purchase takes the
form of a reduction in future utility when expenditures that otherwise could have been made …

People exaggerate the degree to which their future tastes will resemble their current tastes.
We present evidence from a variety of domains which demonstrates the prevalence of such …

This chapter provides an overview of household finance. The first part summarizes key facts
regarding household financial behavior, emphasizing empirical regularities that are …

A common assumption underlying the analysis of consumers' choices among optional tariffs
is that consumers choose the tariff that maximizes their surplus and, thus, the tariff that leads …

Recent theoretical work suggests that network externalities are a determinant of network
adoption. However, few empirical studies have reported the impact of network externalities …

When a firm offers several tariff options to its customers, the possibility arises that they will
make an ex post mistake in tariff choice. This occurs since consumers cannot commit to a …

The author explores how consumers anticipate product or service usage during the
purchase deliberation and develops a descriptive model of the decision process in which …

Flat rates are a dominant pricing scheme in many consumer service industries that largely
benefit service providers: Many customers exhibit a bias and choose flat rates even though a …

We consider a model of firm pricing and consumer choice, where consumers are loss averse
and uncertain about their future demand. Possibly, consumers in our model prefer a flat rate …