2008
DOI: 10.1111/j.1468-0297.2008.02182.x
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Limited Attention as a Scarce Resource in Information‐Rich Economies

Abstract: Limited attention as a scarce resource in information-rich economies Falkinger, J Falkinger, J (2008 Abstract This paper uses basic facts from the psychology of attention to show how the limited attention of consumers affects economic competition. The paper determines endogenously whether an economy is information rich or information poor. A conventional economic equilibrium results if subjects have spare attention capacity. At the positive level, the respective impacts of advances in information technology,… Show more

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Cited by 150 publications
(91 citation statements)
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“…Our findings add to a growing body of literature which investigates how consumer demand is affected by standardised quality indicators provided by external parties in areas such as schooling (Hastings and Weinstein, 2008), health care (Cutler et al, 2004;Werner et al, 2012) and the environment (Delmas et al, 2010). Additionally, the article is instructive for recent debates in economics about salience, and the propensity of market actors to pay disproportionately more attention to information presented in some formats than others (Chetty et al, 2009;Falkinger, 2008;Hirshleifer and Teoh, 2003). Our findings also relate to work in industrial organization and the under-researched question of how demand responsiveness to beliefs about quality is moderated by the degree of market competition (Beckert et al, 2012;Gaynor et al, 2012;Porter, 1974).…”
Section: Introductionmentioning
confidence: 84%
“…Our findings add to a growing body of literature which investigates how consumer demand is affected by standardised quality indicators provided by external parties in areas such as schooling (Hastings and Weinstein, 2008), health care (Cutler et al, 2004;Werner et al, 2012) and the environment (Delmas et al, 2010). Additionally, the article is instructive for recent debates in economics about salience, and the propensity of market actors to pay disproportionately more attention to information presented in some formats than others (Chetty et al, 2009;Falkinger, 2008;Hirshleifer and Teoh, 2003). Our findings also relate to work in industrial organization and the under-researched question of how demand responsiveness to beliefs about quality is moderated by the degree of market competition (Beckert et al, 2012;Gaynor et al, 2012;Porter, 1974).…”
Section: Introductionmentioning
confidence: 84%
“…En matière d'attention, il importe de faire la distinction entre le contrôle endogène (volontaire) et exogène (involontaire ou automatique) (Falkinger, 2008). On parle d'attention volontaire lorsque le sujet s'oriente sur un stimulus parce que celui-ci est pertinent pour la tâche qu'il est en train d'accomplir.…”
Section: L'économie De La Jouissance : Capter L'attention Et Saisir Lunclassified
“…La démarche de Falkinger (Falkinger, 2007 ;Falkinger, 2008) est, à notre connaissance, la plus aboutie sur le plan de la formalisation. Les modélisations de Falkinger sont représentatives de la capacité de la théorie néo-classique standard à s'étendre au delà de ses hypothèses originelles.…”
Section: L'intégration De L'attention Dans La Théorie éConomique Stanunclassified