Why do consumer prices and wages adjust so slowly to changes in market conditions? The rigidity or stickiness of price setting in business is central to Keynesian economic theory and a key to understanding how monetary policy works, yet economists have made little headway in determining why it occurs. Asking About Prices offers a groundbreaking empirical approach to a puzzle for which theories abound but facts are scarce. Leading economist Alan Blinder, along with co-authors Elie Canetti, David Lebow, and Jeremy B. Rudd, interviewed a national, multi-industry sample of 200 CEOs, company heads, and other corporate price setters to test the validity of twelve prominent theories of price stickiness. Using everyday language and pertinent scenarios, the carefully designed survey asked decisionmakers how prominently these theoretical concerns entered into their own attitudes and thought processes. Do businesses tend to view the costs of changing prices as prohibitive? Do they worry that lower prices will be equated with poorer quality goods? Are firms more likely to try alternate strategies to changing prices, such as warehousing excess inventory or improving their quality of service? To what extent are prices held in place by contractual agreements, or by invisible handshakes? Asking About Prices offers a gold mine of previously unavailable information. It affirms the widespread presence of price stickiness in American industry, and offers the only available guide to such business details as what fraction of goods are sold by fixed price contract, how often transactions involve repeat customers, and how and when firms review their prices. Some results are surprising: contrary to popular wisdom, prices do not increase more easily than they decrease, and firms do not appear to practice anticipatory pricing, even when they can foresee cost increases. Asking About Prices also offers a chapter-by-chapter review of the survey findings for each of the twelve theories of price stickiness. The authors determine which theories are most popular with actual price setters, how practices vary within different business sectors, across firms of different sizes, and so on. They also direct economists' attention toward a rationale for price stickiness that does not stem from conventional theory, namely a strong reluctance by firms to antagonize or inconvenience their customers. By illuminating how company executives actually think about price setting, Asking About Prices provides an elegant model of a valuable new approach to conducting economic research.

From the bestselling author of A More Beautiful Question, hundreds of big and small questions that harness the magic of inquiry to tackle challenges we all face--at work, in our relationships, and beyond. When confronted with almost any demanding situation, the act of questioning can help guide us to smart decisions. By asking questions, we can analyze, learn, and move forward in the face of uncertainty. But "questionologist" Warren Berger says that the questions must be the right ones; the ones that cut to the heart of complexity or enable us to see an old problem in a fresh way. In The Book of Beautiful Questions, Berger shares illuminating stories and compelling research on the power of inquiry. Drawn from the insights and expertise of psychologists, innovators, effective leaders, and some of the world's foremost creative thinkers, he presents the essential questions readers need to make the best choices when it truly counts, with a particular focus in four key areas: decision-making, creativity, leadership, and relationships. The powerful questions in this book can help you: - Identify opportunities in your career or industry - Generate fresh ideas in business or in your own creative pursuits - Check your biases so you can make better judgments and decisions - Do a better job of communicating and connecting with the people around you Thoughtful, provocative, and actionable, these beautiful questions can be applied immediately to bring about change in your work or your everyday life.

In many markets, sellers advertise their good with an asking price. This is a price at which the seller will take his good off the market and trade immediately, though it is understood that a buyer can submit an offer below the asking price and that this offer may be accepted if the seller receives no better offers. We construct an environment with a few simple, realistic ingredients and demonstrate that, by using an asking price, sellers both maximize their revenue and implement the efficient outcome in equilibrium. We provide a complete characterization of this equilibrium and use it to explore the implications of this pricing mechanism for transaction prices and allocations.

FOREWORD BY BRENE BROWN and POSTSCRIPT FROM BRAIN PICKINGS CREATOR MARIA POPOVA Rock star, crowdfunding pioneer, and TED speaker Amanda Palmer knows all about asking. Performing as a living statue in a wedding dress, she wordlessly asked thousands of passersby for their dollars. When she became a singer, songwriter, and musician, she was not afraid to ask her audience to support her as she surfed the crowd (and slept on their couches while touring). And when she left her record label to strike out on her own, she asked her fans to support her in making an album, leading to the world's most successful music Kickstarter. Even while Amanda is both celebrated and attacked for her fearlessness in asking for help, she finds that there are important things she cannot ask for-as a musician, as a friend, and as a wife. She learns that she isn't alone in this, that so many people are afraid to ask for help, and it paralyzes their lives and relationships. In this groundbreaking book, she explores these barriers in her own life and in the lives of those around her, and discovers the emotional, philosophical, and practical aspects of THE ART OF ASKING. Part manifesto, part revelation, this is the story of an artist struggling with the new rules of exchange in the twenty-first century, both on and off the Internet. THE ART OF ASKING will inspire readers to rethink their own ideas about asking, giving, art, and love.

The world’s foremost expert on pricing strategy shows how this mysterious process works and how to maximize value through pricing to company and customer. In all walks of life, we constantly make decisions about whether something is worth our money or our time, or try to convince others to part with their money or their time. Price is the place where value and money meet. From the global release of the latest electronic gadget to the bewildering gyrations of oil futures to markdowns at the bargain store, price is the most powerful and pervasive economic force in our day-to-day lives and one of the least understood. The recipe for successful pricing often sounds like an exotic cocktail, with equal parts psychology, economics, strategy, tools and incentives stirred up together, usually with just enough math to sour the taste. That leads managers to water down the drink with hunches and rules of thumb, or leave out the parts with which they don’t feel comfortable. While this makes for a sweeter drink, it often lacks the punch to have an impact on the customer or on the business. It doesn’t have to be that way, though, as Hermann Simon illustrates through dozens of stories collected over four decades in the trenches and behind the scenes. A world-renowned speaker on pricing and a trusted advisor to Fortune 500 executives, Simon’s lifelong journey has taken him from rural farmers’ markets, to a distinguished academic career, to a long second career as an entrepreneur and management consultant to companies large and small throughout the world. Along the way, he has learned from Nobel Prize winners and leading management gurus, and helped countless managers and executives use pricing as a way to create new markets, grow their businesses and gain a sustained competitive advantage. He also learned some tough personal lessons about value, how people perceive it, and how people profit from it. In this engaging and practical narrative, Simon leaves nothing out of the pricing cocktail, but still makes it go down smoothly and leaves you wanting to learn more and do more—as a consumer or as a business person. You will never look at pricing the same way again.