Estimation of Preference Heterogeneity in Markets with Costly Search

  title={Estimation of Preference Heterogeneity in Markets with Costly Search},
  author={Ilya L. Morozov and Stephan Seiler and Xiaojing Dong and Liwen Hou},
  journal={ERN: Search},
The paper shows preference heterogeneity is overestimated when not accounting for search frictions and studies the impact of search frictions on optimal price setting. 
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