Ignorance is Bliss? Uncertainty About Product Valuation May Benefit Consumers
Posted: 19 Dec 2012 Last revised: 12 Jul 2013
Date Written: November 26, 2012
Abstract
Product information which is beneficial for an individual consumer may hurt if disseminated widely. Even with rational expectations a fallacy of composition may occur if information leads to demand and price increases.
Keywords: information, rational expectations, advertising, product reviews
JEL Classification: D8, M3
Suggested Citation: Suggested Citation
da Graca, Tarcisio and Masson, Robert T., Ignorance is Bliss? Uncertainty About Product Valuation May Benefit Consumers (November 26, 2012). Applied Economics Letters, Vol. 20, No. 9, 897-902, February 2013, Available at SSRN: https://ssrn.com/abstract=2190458
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