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Monopoly price discrimination and privacy: the hidden cost of hiding

TLDR
In this article, the authors show that consumers are collectively better off when this hiding technology is not available, even when consumers can acquire it free of charge, than when it is available.
Abstract
A monopolist can use a ‘tracking’ technology that allows it to identify a consumer's willingness to pay with some probability. Consumers can counteract tracking by acquiring a ‘hiding’ technology. We show in this note that consumers are collectively better off when this hiding technology is not available, even when consumers can acquire it free of charge.

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Journal ArticleDOI

The Economics of Privacy

TL;DR: The authors summarizes and draws connections among diverse streams of theoretical and empirical research on the economics of privacy, focusing on the economic value and consequences of protecting and disclosing personal information, and on consumers' understanding and decisions regarding the tradeoffs associated with the privacy and the sharing of personal data.

Intermediate Public Economics

TL;DR: Hindricks and Myles as discussed by the authors, 2006, 724 pp, The MIT Press, Cambridge, Massachussets and Londres, Inglaterra, The Massachusetts Institute of Technology
Journal ArticleDOI

Competitive personalized pricing

TL;DR: A duopoly model where each firm chooses personalized prices for its targeted consumers, who can be active or passive in identity management is studied, which can lead to lower consumer surplus and lower social welfare.
Journal ArticleDOI

Pricing behavior of monopoly market with the implementation of green technology decision under emission reduction subsidy policy

TL;DR: Modelling emissions-reduction policy to encourage the implementation of green technology and support firm profits found that subsidies enabled a firm to maximize its profits while ensuring green technology implementation, while the firm would not have adopted green technology without subsidies or mandates.
Journal ArticleDOI

Price competition and blockchain adoption in retailing markets

TL;DR: The optimal prices and corresponding profits of the two retailers when applying and not applying blockchain are obtained, and it is suggested that it is not always beneficial for retailers to adopt blockchain technology in all situations.
References
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Journal ArticleDOI

The Economics of Privacy

TL;DR: The authors summarizes and draws connections among diverse streams of theoretical and empirical research on the economics of privacy, focusing on the economic value and consequences of protecting and disclosing personal information, and on consumers' understanding and decisions regarding the tradeoffs associated with the privacy and the sharing of personal data.
Book

Industrial Organization: Markets and Strategies

TL;DR: In this article, the authors present an up-to-date account of modern industrial organization that blends theory with real-world applications, including product bundling, branding strategies, restrictions in vertical supply relationships, intellectual property protection, and two-sided markets.
Journal ArticleDOI

Supermodularity and Complementarity in Economics: An Elementary Survey

TL;DR: In this paper, the authors surveyed the literature on supermodular optimization and games from the perspective of potential users in economics and provided a new approach for comparative statics based only on critical assumptions, and allowed a general analysis of games with strategic complementarities.
Book

Handbook of Volatility Models and Their Applications

TL;DR: The Handbook of Volatility Models and Their Applications explores key concepts and topics essential for modeling the volatility of financial time series, both univariate and multivariate, parametric and non-parametric, high-frequency and low-frequency, and alternative approaches.
Book

Economics of Agglomeration: Cities, Industrial Location, and Globalization

TL;DR: The von Thunen model and land rent formation is used in this paper to model the formation of cities in a spatial economy and the trade-off between increasing returns vs. transportation costs.
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