Differential Pricing and Mistake Avoidance
AbstractPeople who suffer disutility from making mistakes may prefer to face consumption choices which reduce their chances of making mistakes. One consequence is that a firm may attract greater demand by charging a single price for different goods than by charging different prices for different goods.
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Bibliographic InfoPaper provided by California Irvine - School of Social Sciences in its series Papers with number 99-00-14.
Length: 14 pages
Date of creation: 2000
Date of revision:
Contact details of provider:
Postal: UNIVERSITY OF CALIFORNIA IRVINE, SCHOOL OF SOCIAL SCIENCES, IRVINECALIFORNIA 91717 U.S.A.
PRICES ; CONSUMPTION;
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