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With quasi-linear preferences, let consumer m gain an indirect utility (excluding any search or switching costs) of u mi = ε mi − p i if she chooses to buy from firm i at price p i, where her 'match value', ε mi, is an independent draw from a distribution G with positive density g on, where 0 ≤ ε ̲ < ε ¯.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com