Welfare and Pricing of Mail in a Communications Market

We build a model where a postal incumbent offering single piece, transactional and advertising mail competes with postal entrants and with a firm offering an alternative medium. We solve for the optimal prices under various competition assumptions. We calibrate the model and provide numerical simulations in order to shed light on the impact of these assumptions on volumes and welfare levels.

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Year of publication:	2011
Authors:	De Donder, Philippe ; Cremer, Helmuth ; Dudley, Paul ; Rodriguez, Frank
Published in:	Review of Network Economics. - De Gruyter, ISSN 1446-9022, ZDB-ID 2139394-1. - Vol. 10.2011, 3
Publisher:	De Gruyter
Subject:	non direct mail \| substitution \| displacement ratio \| Ramsey prices \| calibration

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Type of publication:	Article
Type of publication (narrower categories):	research-article
Language:	English
Other identifiers:	10.2202/1446-9022.1223 [DOI]
Source:	Other ZBW resources

Persistent link: https://www.econbiz.de/10014619169