Articles tagged with Microeconomics
Researchers found high-end hotels inflate their ratings on platforms like Tripadvisor and Expedia when facing greater competition from Airbnb. The study, published in MIS Quarterly, suggests that hotels use fake positive reviews to counter negative reviews from rival hotels., Low-end hotels remain unaffected by Airbnb's presence.
A recent study by Prof. Yong-Kyun Bae found that recall letters with riskier defects and 'free of charge' notices prompt quicker corrective actions. The research highlights the need for effective, standardized communication in recall letters to improve public safety.
Collaborations between firms with the same partner can hurt company success, but help employees develop social capital and advance their careers. Employees often benefit from these connections, which can lead to better job opportunities and skill development.
A new study found that disclosure of advertising spending significantly lowers investor and analyst uncertainty, enhancing firms' valuation. The study analyzed 2,285 publicly listed firms over 25 years and found a moderate negative effect on idiosyncratic risk.
A new study from the University of Washington found that sweetened beverage taxes redistribute dollars from higher- to lower-income households, providing a net economic benefit of $5.3 to $16.4 million per year to lower-income communities. The taxes also fund health programs and reduce consumption of unhealthy drinks.
New research in Marketing Science reveals that banning tobacco products can result in a 4% decline in gross sales for retailers. The study also suggests that the impact of such bans can be felt across other unhealthy product categories, affecting overall store revenue.
Researchers aim to create guidelines for effective institutions by addressing key issues like information asymmetry and moral hazard. They propose six robustness requirements to improve institutional performance.
A recent study in Indonesia found that full subsidies increased enrollment by 18.6 percentage points, while registration assistance alone boosted signups by 3.5 percent. The experiment also highlighted the importance of infrastructure and administrative capacity in addressing the challenges of universal health insurance.
A new study analyzes how micro (income) and macro (business cycle) conditions influence grocery shopping behavior, finding that households adjust their spending without changing budget constraints. Micro conditions primarily affect basket value, while macro conditions impact both basket value and allocation to store formats.
The August nTIDE report shows an increase in employment-to-population ratio for workers with disabilities, reaching 31.5%, up from 30.8% in July. The labor force participation rate also increased by 1.4 percentage points, reflecting the resilience of workers with disabilities during the COVID-19 pandemic.
Researchers found no significant statistical or economic difference in yield or revenue between discriminatory and uniform auctions. The study suggests that Treasuries worldwide can shift focus away from auction rules towards market stability and primary dealer systems.
Researchers used microeconomic models to analyze the circumstances required for reciprocal egg trading to work. The results reveal that eggs must be costly to produce and it's essential to identify cheaters before mating. This complex system of trading helps hamlets avoid a costly dilemma by dividing the reproductive role.
The UK pension system is under pressure as an aging population and changes in private provision impact state and individual savings. The current system appears sustainable due to reduced generosity and reliance on means-testing, but may face challenges if people reduce private savings.
Despite the Asian recession, US firms remain in a strong position due to their dominance of knowledge processing and increasing return markets. However, the authors warn that if American firms fail to adapt, they risk losing market share to Asian companies, who are emerging as a formidable new elite.
As the electric industry transitions to a competitive system, consumers can expect lower electric bills due to increased efficiency and market forces. State regulators will play a crucial role in ensuring that consumers are informed about their rights and responsibilities.
A study by Dr. Yannis Bakos finds that electronic marketplaces will favor buyers over sellers in the long run, reducing prices and increasing competition. However, sellers can counter this threat by focusing on product features rather than prices and differentiating their products.