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Record W1575955166

Search Engine Advertising: Pricing Ads to Context

2007· preprint· en· W1575955166 on OpenAlexaff
Avi Goldfarb, Catherine E. Tucker

Bibliographic record

VenueThe Faculty Digital Archive (New York University) · 2007
Typepreprint
Languageen
FieldBusiness, Management and Accounting
TopicConsumer Market Behavior and Pricing
Canadian institutionsUniversity of Toronto
Fundersnot available
KeywordsSearch advertisingAdvertisingContext (archaeology)BusinessOnline advertisingSearch costProfitability indexCompetition (biology)Market powerDisplay advertisingInformative advertisingPrice dispersionWillingness to payMarketingNative advertisingEconomicsMicroeconomicsThe InternetMonopolyComputer science
DOInot available

Abstract

fetched live from OpenAlex

Each search term put into a search engine produces a separate set of results.Correspondingly, each of the sets of ads displayed alongside these results is priced using a separate auction.There is growing debate whether this marketing strategy merely makes advertising more informative, or whether using context to price also effectively price discriminates.To inform this debate, we examine advertising prices paid by lawyers for 174 Google search terms in 195 locations and exploit a natural experiment in "ambulance-chaser" regulations across states.Where state laws impose limits on lawyers' contingency fees limits, the relative price of advertising is $2.27 lower.This suggests that context-based pricing allows prices to reflect heterogeneity in the profitability of customer leads.When lawyers cannot contact a client by mail, the relative price per ad click is $0.93 higher.This suggests that context-based pricing allows prices to reflect heterogeneity in advertisers' other advertising options, even within a given local market.This last result emphasizes that search engine's pricing clout depends on the extent of competition, both online and offline.

Fetched live from OpenAlex and de-inverted. Abstracts are not stored in this database: the inverted indexes are 8.6 GB of the frame’s 9.3 GB of text, and the host has 13 GB free.

How this classification was reachedexpand

Full frame distilled prediction

Teacher imitation

Not calibrated prevalence, not ground truth. Human validation pending. Learned from the 10,348 direct Codex labels and 10,348 direct Gemma labels. Candidate is the union of thresholded teacher heads; consensus is their intersection. These outputs are machine_predicted_unvalidated and are not human labels or direct frontier model labels.

metaresearch head score (Codex)0.000
metaresearch head score (Gemma)0.000
Version: codex-gemma-dda1882f352aValidation status: machine_predicted_unvalidated
Candidate categoriesMeta-epidemiology (narrow)
Consensus categoriesnone
DomainCandidate signal: none · Consensus signal: none
Study designCandidate signal: Not applicable · Consensus signal: none
GenreCandidate signal: Empirical · Consensus signal: Empirical
Teacher disagreement score0.918
Threshold uncertainty score1.000

Codex and Gemma teacher scores by category

CategoryCodexGemma
Metaresearch0.0000.000
Meta-epidemiology (narrow)0.0010.000
Meta-epidemiology (broad)0.0000.000
Bibliometrics0.0010.001
Science and technology studies0.0000.000
Scholarly communication0.0010.001
Open science0.0010.004
Research integrity0.0000.001
Insufficient payload (model declined to judge)0.0000.001

Machine scores (provisional)

The two teacher heads of the student model, read on this work. A score orders the frame for review; it never asserts a category, and the validation status ships verbatim with every row.

Baseline scores from an immature model (maturity gate not passed, 7 training rounds). Scores rank; they never assert a category.

Opus teacher head0.043
GPT teacher head0.241
Teacher spread0.197 · how far apart the two teachers sit on this one work
Validation statusscore_only:v0-immature-baseline · verbatim from the scoring run: score_only means the number may rank works, and no category label ships from it

Classification

machine, unvalidated

Machine predicted; a candidate call from one teacher head, not a consensus.

Study designNot applicable
Domainnot available
GenreEmpirical

How this classification was reached, model by model and score by score, is at the end of the page under "How this classification was reached".

Quick stats

Citations50
Published2007
Admission routes1
Has abstractyes

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