Internet and the efficiency of decentralized markets: evidence from automobiles
Rapson, D. & Schiraldi, P.
(2013).
Internet and the efficiency of decentralized markets: evidence from automobiles.
Economics Letters,
121(2), 232-235.
https://doi.org/10.1016/j.econlet.2013.08.018
(2013).
Internet and the efficiency of decentralized markets: evidence from automobiles.
Economics Letters,
121(2), 232-235.
https://doi.org/10.1016/j.econlet.2013.08.018
We estimate the effect of internet on the volume of used car transactions. From 1997 to 2007, internet use tripled in California, causing an increase in volume-of-trade of 7.2 %. This implies a substantial welfare gain via improved allocative efficiency.