A Simple Model of Entry That Increases Price Levels and Price Dispersion

A monopolist who originally charges a uniform price across all markets may switch to discriminatory pricing upon the entry of a competitor. As a result, intensified competition may lead to more dispersed prices as well as higher prices for some or all consumers.

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Year of publication:	2006
Authors:	Zhou, Wen
Published in:	Advances in Economic Analysis & Policy. - Berkeley Electronic Press. - Vol. 6.2006, 1, p. 1647-1647
Publisher:	Berkeley Electronic Press
Subject:	entry \| price competition \| price discrimination \| price dispersion

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Extent:	application/pdf
Type of publication:	Article
Notes:	oai:bepress:bejeap-1647
Classification:	L11 - Production, Pricing, and Market Structure Size; Size Distribution of Firms
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10005086785