The National Science Foundation (NSF) awarded a $196,127 Project Grant under the Social, Behavioral, and Economic Sciences (CFDA 47.075) program to the University of Mississippi. The grant supports an empirical analysis of price discrimination practices in the airline industry, with a focus on personalized pricing via targeted discounts and auctions for upgraded services. The research aims to provide insights into the effectiveness of these strategies on profit and consumer welfare, as well as guidance to policymakers on limiting negative impacts. The study utilizes unique proprietary data obtained from a North American airline to advance econometric methods for personalized pricing and integration of auctions into dynamic pricing environments. The results are expected to contribute to the knowledge of welfare impacts from modern discriminatory pricing practices and inform discussions around data privacy and price discrimination.
Generated 1/28/25, 9:17 AM