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The Demand for Information Services and the Market Structure

Holm, Jerker LU (2002) In Journal of Economics 77(2). p.155-183
Abstract
Uninformed buyers' demand for statistical screening between privately informed sellers is studied in a fixed price market. A single buyer will screen more extensively than would two or more buyers, since in the latter case buyers realize that sellers will be attracted to buyers with the most favorable screening policy (i.e., not to screen at all). This result is robust to some but not all types of modifications in the model. For instance, information quality differences in the sense of Blackwell will reinforce this effect. Furthermore, in equilibrium only the best information service will be used.
Please use this url to cite or link to this publication:
author
organization
publishing date
type
Contribution to journal
publication status
published
subject
keywords
screening, information service, market behavior
in
Journal of Economics
volume
77
issue
2
pages
155 - 183
publisher
Springer
external identifiers
  • scopus:0036862709
ISSN
1617-7134
DOI
10.1007/s00712-002-0540-2
language
English
LU publication?
yes
id
d56a2e6f-2a45-426d-ba3c-a6bfe58cd0e8 (old id 1384660)
alternative location
http://www.jstor.org/stable/41794990
date added to LUP
2009-04-20 12:27:14
date last changed
2017-01-01 06:42:35
@article{d56a2e6f-2a45-426d-ba3c-a6bfe58cd0e8,
  abstract     = {Uninformed buyers' demand for statistical screening between privately informed sellers is studied in a fixed price market. A single buyer will screen more extensively than would two or more buyers, since in the latter case buyers realize that sellers will be attracted to buyers with the most favorable screening policy (i.e., not to screen at all). This result is robust to some but not all types of modifications in the model. For instance, information quality differences in the sense of Blackwell will reinforce this effect. Furthermore, in equilibrium only the best information service will be used.},
  author       = {Holm, Jerker},
  issn         = {1617-7134},
  keyword      = {screening,information service,market behavior},
  language     = {eng},
  number       = {2},
  pages        = {155--183},
  publisher    = {Springer},
  series       = {Journal of Economics},
  title        = {The Demand for Information Services and the Market Structure},
  url          = {http://dx.doi.org/10.1007/s00712-002-0540-2},
  volume       = {77},
  year         = {2002},
}