Ontology highlight
ABSTRACT:
SUBMITTER: Schroder M
PROVIDER: S-EPMC7515901 | biostudies-literature | 2020 Sep
REPOSITORIES: biostudies-literature
Schröder Malte M Storch David-Maximilian DM Marszal Philip P Timme Marc M
Nature communications 20200924 1
Dynamic pricing schemes are increasingly employed across industries to maintain a self-organized balance of demand and supply. However, throughout complex dynamical systems, unintended collective states exist that may compromise their function. Here we reveal how dynamic pricing may induce demand-supply imbalances instead of preventing them. Combining game theory and time series analysis of dynamic pricing data from on-demand ride-hailing services, we explain this apparent contradiction. We deri ...[more]