Question: 6. (20 points) Using the performance-based online advertising pricing model introduced in the lecture. The optimal contract is given by to = m Ta +

6. (20 points) Using the performance-based online advertising pricing model introduced in the lecture. The optimal contract is given by to = m Ta + Tp TaFTp Tarp ly ( atrp)ope + B20 PP B3 B20 cc to = m Tp Ta FTp (ratrp)Occ Bp Be Bpocc + Bcopp BpBc dtp dtp a. Find the sign of are and dry. How do risk aversion parameters affect the optimal per-purchase payment? dt* dt* b. Find the sign of are and dry. How do risk aversion parameters affect the optimal per-clickthrough payment

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