@TechReport{iza:izadps:dp16824,
            	author={Cai, Xiaoming and Gautier, Pieter A. and Wolthoff, Ronald P.},
            	title={Spatial Search},
            	year={2024},
	month={Feb},
            	institution={Institute of Labor Economics (IZA)},
            	address={Bonn},
            	type={IZA Discussion Paper},
            	number={16824},
            	url={https://www.iza.org/index.php/publications/dp16824},
	abstract={This paper considers a random search model where some locations provide sellers with better chances of meeting many buyers than other locations (for example popular shopping streets or the first page of a search engine). When sellers are heterogeneous in terms of the quality of their product and/or the probability that a given buyer likes their product, it is desirable that sellers of high-quality niche products sort into the best locations. We show that this does not always happen in a decentralized market. Finally, we allow for endogenous location distributions and show that more trades are realized when locations are similar (in which case the aggregate matching function is urn-ball) but that quality weighted trade can be higher when locations are heterogeneous.},
	keywords={search frictions;spatial equilibrium;sorting},
            }