Dynamic Competition in Negotiated Price Markets
利用加拿大抵押贷款市场的合同级数据，发现“投资与收割”定价模式，构建动态议价模型分析市场摩擦对借款人和银行收益的影响，为公共政策提供启示。
ABSTRACT Using contract‐level data for the Canadian mortgage market, this paper provides evidence of an “invest‐and‐harvest” pricing pattern. We build a dynamic model of price negotiation with search and switching frictions to capture key market features. We estimate the model and use it to investigate the effects of market frictions and the resulting dynamic competition on borrowers' and banks' payoffs. We show that dynamic pricing and the presence of search and switching costs have important implications for public policies.