Replication data for: Testing Models of Consumer Search Using Data on Web Browsing and Purchasing Behavior

Principal Investigator(s): View help for Principal Investigator(s) Babur De Los Santos; Ali Hortaçsu; Matthijs R. Wildenbeest

Version: View help for Version V1

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Project Citation:

De Los Santos, Babur, Hortaçsu, Ali, and Wildenbeest, Matthijs R. Replication data for: Testing Models of Consumer Search Using Data on Web Browsing and Purchasing Behavior. Nashville, TN: American Economic Association [publisher], 2012. Ann Arbor, MI: Inter-university Consortium for Political and Social Research [distributor], 2019-10-11. https://doi.org/10.3886/E112561V1

Project Description

Summary: Using a large dataset on web browsing and purchasing behavior we test to what extent consumers are searching in accordance to various search models. We find that the benchmark model of sequential search with a known price distribution can be rejected based on recall patterns found in the data as well as the absence of dependence of search decisions on prices. Our findings suggest fixed sample size search provides a more accurate description of search behavior. We then utilize the fixed sample size search model to estimate demand elasticities of online bookstores in an environment where store preferences are heterogeneous. (JEL D12, D83, L81)

Scope of Project

JEL Classification:
      D12 Consumer Economics: Empirical Analysis
      D83 Search; Learning; Information and Knowledge; Communication; Belief; Unawareness
      L81 Retail and Wholesale Trade; e-Commerce

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V1 [2019-10-11]

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