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Project Citation: 

Lederman, Mara. Data and Code for: Exit, Tweets and Loyalty. Nashville, TN: American Economic Association [publisher], 2021. Ann Arbor, MI: Inter-university Consortium for Political and Social Research [distributor], 2021-04-12. https://doi.org/10.3886/E118701V1

Project Description

Summary:  View help for Summary Hirschman’s Exit, Voice, and Loyalty highlights the role of “voice” when individuals confront an unexpected deterioration in quality. Yet, voice has received little attention. To motivate our empirical analysis, we develop a simple model of voice as the equilibrium of a relational contract between customers and firms. We use data on 4 million tweets to or about U.S. airlines to study the relationship between quality, voice, and market structure. Voice increases when quality deteriorates. This relationship is greater for airlines which operate a large share of flights in a market. Supplemental analyses support a relational contracting role for voice.
Funding Sources:  View help for Funding Sources SSHRC (493140)

Scope of Project

Subject Terms:  View help for Subject Terms market structure; social media; complaints; airlines
JEL Classification:  View help for JEL Classification
      D40 Market Structure, Pricing, and Design: General
      L10 Market Structure, Firm Strategy, and Market Performance: General
      L86 Information and Internet Services; Computer Software
Geographic Coverage:  View help for Geographic Coverage United States
Time Period(s):  View help for Time Period(s) 8/1/2012 – 8/1/2014
Universe:  View help for Universe Tweets made by individuals to or about major US airlines. 
Data Type(s):  View help for Data Type(s) event/transaction data; observational data

Methodology

Data Source:  View help for Data Source 4 Data Sources:

1. Data on tweets purchased from GNIP
2. Data on the on-time performance of US airlines (available from the US Bureau of Transportation Statistics)
3. Data on US airlines' flight schedules purchased from the Official Airlines Guide (OAG)
4. Data for weather measured at weather stations located at US airports (available from National Oceanic and Atmospheric Administration).

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