Market Prominence Lowers Prices, Increases Consumer Surplus in Simultaneous Search.
The article explores how different products and search costs affect prices in the market. It shows that when search costs increase, prices can go up, stay the same, or go down. The study also looks at the impact of firm prominence on prices, finding that a well-known company charges more than a less-known one, but both charge less than the average price. This means that being a popular brand can benefit consumers by offering lower prices.