Hans-Theo Normann

Rule-based pricing tools are widespread in digital commerce, yet we know little about how their design shapes market outcomes. In a controlled market experiment, participants use dashboards to build pricing algorithms competing in a sequential Bertrand game over multiple periods.

When governments publicly express concern about rising prices, do they deter opportunistic behavior or facilitate coordination? Laboratory experiments with real financial stakes suggest that such statements can lead to higher prices, with observed increases of around 7 percent and market profitability by 40 percent. Our evidence points to a mechanism whereby public expressions of concern shift firms’ beliefs about competitors’ likely behavior, potentially transforming strategic uncertainty i ...

Immigration is an intergenerational process, often driven by parents’ desire to ensure a better life for their children. How well do immigrant children do relative to their parents? Do they differ from native children in this respect? In this paper, we study the intergenerational income mobility of the children of immigrants and natives using rich administrative data from Sweden – a country that has welcomed a large number of immigrants from all over the world since the Second World War.