What’s ‘algorithmic coercion,’ and why is it making things we buy more expensive?

What’s ‘algorithmic coercion,’ and why is it making things we buy more expensive?

One company choosing to use a quick and reactive pricing algorithm could lead its competitors to increase prices, leading to customers facing higher costs across the board, according to a recent study led by a University of Virginia economist. Alexander MacKay, an associate professor of economics at the University of Virginia, said the research published by the National Bureau of Economic Research reviewed a concept called algorithmic coercion. …