This report was commissioned by the Office of Fair Trading (OFT) from London Economics in
association with Steffen Huck and Jidong Zhou (University College London). It examines the …

We experimentally examine the effects of price competition in markets for experience goods
where sellers can build up reputations for quality. We compare price competition to …

I present a simple framework for modeling two-firm market competition when consumer
choice is “frame-dependent,” and firms use costless “marketing messages” to influence the …

Abstract The Australian Government launched the My School website in 2010 to provide
standardised information about the quality of schools to the Australian public. This paper …

Whether consumers are aware of potentially adverse product effects is key to private and
social incentives to disclose information about undesirable product characteristics. In a …

We analyze the manner in which a monopolist designs its product line when facing
customers with limited attention. We assume that consumers simplify complex problems by …

The paper introduces the problem of unawareness into multi-dimensional Principal–Agent
theory. We introduce two key parameters to describe the problem, the extent and the effect of …

In a retail financial market, firms strategically choose whether to commit financial fraud to
exploit naive investors who are unaware of such practices. In a leader-follower setting, we …

The central economic justification for competition law is that the protection of competition
promotes welfare. In particular, perfect competition among firms catering to consumer …

Complementing the existing literature on anchoring effects and loss aversion, we analyze
how firms can influence loss-averse consumers' willingness to pay by product information in …