This paper analysis Competition among sellers over either price negotiation or price posting in the framework of a search model under imperfect information about quality.

Pricing costs and information problems are introduced into a framework with consumer-producers, economies of specialization, and transaction costs to predict the endogenous and concurrent evolution in division of labor and in the information of organization acquired by society. The concurrent...

We consider the following stage game: a domestic government chooses an import quota, the a domestic and a foreign firm choose their quality level before engaging a price competition. We first show that the indirect effect of the quota on the sales of the domestic producer are different depending...

The impact of competition on prices and wages in investigated using a panel of three-digit industries in the Dutch Manufacturing sector (1978-1991). Output prices are explaining using an oligopoly model, whereas wages are axplained through a bargaining model. The analysis reveals that market...

It is shown that a fixed cost of nominal price changes enhances the ability of firms to collude in an ologopolistic market for a homogeneous good. Nevertheless, harsh price competition with firms making no profit remains a possible outcome. The analysis focuses on stable symmetric steady states...

This paper examines the relationship between changes in telecommunications provider concentration on international long distance routes and changes in prices on those routes. Overall, decreased concentration is associated with significantly lower prices to consumers of long distance services.

This paper addresses a particular form of price discrimination, known as "chaotic discrimination", that has the following features: sellers quote a common price but, in reality, they engage in secret and apparently unsystematic price discounts "which may be seriously inconsistent with...

The classical price competition model (named after Bertrand) prescribes that in equilibrium prices are equal to marginal costs. Moreover, prices do not depend on the number of competitors. Since this outcome is not in line with real-life observations, it is known as the "Bertrand Paradox". Many...

To be able to describe informal rural credit markets, we apply the Brock and Scheinkman model of a price setting and capacity constrained oligopoly, where firms tacitly collude on monopoly pricing. We generalise the model to allow for third-degree price discrimination. The interval of aggregate...

We propose an Equilibrium concept, called Undercut-Proof equilibrium, for price competition between firms producing differentiated brands.