Download or read book Essays on Price Discrimination and Demand Learning written by Benjamin E. Wallace and published by . This book was released on 2019 with total page 80 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Essays on Price Discrimination and Minimum Quality Standard written by Ho-saeng Yi and published by . This book was released on 1993 with total page 234 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Essays on Estimating Third degree Price Discrimination written by and published by . This book was released on 2014 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: These three essays study third-degree price discrimination in the U.S. movie theater industry. The first chapter describes datasets used in this study and presents the reduced-form evidence that movie theater chains price-discriminate households without children and households with children. The results are consistent with a model of a simple third-degree price discrimination where movie theater chains choose a regular ticket price and a family ticket price (that is, the sum of the regular ticket price and a child ticket price) separately by each movie theater so that they maximize profits from households with children and households with children. In the second chapter, I estimate demand and supply of a movie theater in a structural model under the price discrimination and the one under no price discrimination, using the unique dataset of ticket prices and theater characteristics including location of movie theaters operating in the U.S. The results show that the model with price discrimination is sharply and statistically well-determined while the model without price discrimination is not, which supports that movie theaters conduct the price discrimination and incorporating it to the structural model significantly improves the estimates. In the third chapter, I conduct counterfactual experiments to study two central topics in the literature of price discrimination. First, I evaluate the price effect of price discrimination by decomposing observed child discounts into cost difference and price discrimination. Then, I evaluate the welfare effect of banning a child discount to see the welfare effect of limiting firm's ability of price discrimination. The result shows that the ban deteriorates the social welfare because of the decrease in demand by households with children while consumers might be better off.

Download or read book An Essay on Price Discrimination written by Paul Robert Milgrom and published by . This book was released on 1987 with total page 39 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book The Economics of Price Discrimination written by George Norman and published by Edward Elgar Publishing. This book was released on 1999 with total page 624 pages. Available in PDF, EPUB and Kindle. Book excerpt: This volume brings together significant articles which have appeared between 1971 and 1997, analyzing the application and effects of price discrimination.

Download or read book Essays on Price Discrimination and Price Dispersion written by Yeonjei Jung and published by . This book was released on 2014 with total page 102 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Essays on Competitive Spatial Price Discrimination written by Barnali Gupta and published by . This book was released on 1990 with total page 176 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Three Essays on Price Discrimination written by Qihong Liu and published by . This book was released on 2003 with total page 91 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Essays on Price Discrimination written by Jie Shuai and published by . This book was released on 2009 with total page 266 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Essays on Price Discrimination in Search Markets HCarl Christian Groh written by Carl-Christian Groh and published by . This book was released on 2023 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Essays on Empirical Analysis of Price Discrimination written by Congnan Zhan and published by . This book was released on 2012 with total page 103 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Price Discrimination written by Fouad Sabry and published by One Billion Knowledgeable. This book was released on 2024-03-27 with total page 374 pages. Available in PDF, EPUB and Kindle. Book excerpt: What is Price Discrimination Price discrimination is a microeconomic pricing strategy where identical or largely similar goods or services are sold at different prices by the same provider in different market segments. Price discrimination is distinguished from product differentiation by the more substantial difference in production cost for the differently priced products involved in the latter strategy. Price differentiation essentially relies on the variation in the customers' willingness to pay and in the elasticity of their demand. For price discrimination to succeed, a firm must have market power, such as a dominant market share, product uniqueness, sole pricing power, etc. All prices under price discrimination are higher than the equilibrium price in a perfectly competitive market. However, some prices under price discrimination may be lower than the price charged by a single-price monopolist. Price discrimination is utilized by the monopolist to recapture some deadweight loss. This Pricing strategy enables firms to capture additional consumer surplus and maximize their profits while benefiting some consumers at lower prices. Price discrimination can take many forms and is prevalent in many industries, from education and telecommunications to healthcare. How you will benefit (I) Insights, and validations about the following topics: Chapter 1: Price discrimination Chapter 2: Monopoly Chapter 3: Monopolistic competition Chapter 4: Oligopoly Chapter 5: Perfect competition Chapter 6: Imperfect competition Chapter 7: Deadweight loss Chapter 8: Two-part tariff Chapter 9: Pricing Chapter 10: Barriers to entry Chapter 11: Yield management Chapter 12: Market power Chapter 13: Non-price competition Chapter 14: Market structure Chapter 15: Pricing strategies Chapter 16: Dynamic pricing Chapter 17: Revenue management Chapter 18: Value-based pricing Chapter 19: Rental value Chapter 20: Profit (economics) Chapter 21: Monopoly price (II) Answering the public top questions about price discrimination. (III) Real world examples for the usage of price discrimination in many fields. Who this book is for Professionals, undergraduate and graduate students, enthusiasts, hobbyists, and those who want to go beyond basic knowledge or information for any kind of Price Discrimination.

Download or read book The Economics of Price Discrimination written by Louis Phlips and published by Cambridge University Press. This book was released on 1983-06-30 with total page 304 pages. Available in PDF, EPUB and Kindle. Book excerpt: A theoretical and unified explanation of how prices are determined in practice, written in a non-technical way.

Download or read book Essays on Price Discrimination written by Donald Ngwe and published by . This book was released on 2014 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: This understanding is central in forming prescriptions for managers as well as measuring welfare implications, both of which I leave for future work.

Download or read book Essays on Economics of Information written by Anastasiia Parakhoniak and published by . This book was released on 2018 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: This thesis consists of three independent chapters addressing different questions of information economics. The first chapter studies optimal strategies of firms which are present in both offline and online markets. We study optimal pricing strategies of retailers in presence of showrooming and their decisions on distribution channels. Showrooming is a situation where consumers try products at brick-and-mortar stores before purchasing them online at a lower price. One way to prevent showrooming is to use a price matching policy, whereby price is the same in both the physical store and the online channel. We show that for small search costs, a price matching policy is indeed optimal. However for higher search costs price matching is suboptimal, and online and offline purchases coexist with showrooming. A firm which faces online competition from a foreign multichannel retailer has an incentive to geo-block, i.e. refuse to serve foreign customers, even though it leads to a decrease in potential demand. Geo-blocking relaxes online competition and leads to higher prices both online and in brick-and-mortar stores. A legal price parity requirement helps to eliminate incentives to geo-block and thus restores online competition. The second chapter analyzes information diffusion process in communication networks where social interactions are costly. We provide a dynamic model with strategic agents who decide how much effort to put into the propagation of information about a product in each period. We show that the equilibrium level of the individual communication effort is convex in the proportion of informed agents, and lower than the socially optimal level due to the substantial free-riding effect. We show that for sufficiently high recommendation cost it is socially optimal that symmetric agents exert the same communication effort while for low recommendation cost this is not true. In the context of our model we analyze the advertising strategy of the firm launching a new product with positive network externalities for consumers. The analysis shows that the outcome of advertisement is decreasing fast with the proportion of informed consumers due to the free-riding effect. Thus, optimally the firm has to adjust and reduce the level of advertising in each period. The third chapter is a co-authored paper with Maarten Janssen and Alexei Parakhonyak. In this paper we propose a new equilibrium concept of Non-reservation price equilibria (Non-RPE). Reservation price equilibria (RPE) do not accurately assess market power in consumer search markets. In most search markets, consumers do not know important elements of the environment in which they search (such as, for example, firms' cost). We argue that when consumers learn when searching, RPE suffer from theoretical issues, such as non-existence and critical dependence on specific out-of-equilibrium beliefs. We characterize equilibria where consumers rationally choose search strategies that are not characterized by a reservation price. Non-RPE always exist and do not depend on specific out-of-equilibrium beliefs. Non-RPE have active consumer search and are consistent with recent empirical findings.

Download or read book Essays on Price Dynamics written by Gee Hee Hong and published by . This book was released on 2012 with total page 314 pages. Available in PDF, EPUB and Kindle. Book excerpt: Standard macro models typically assume that producers sell goods directly to final consumers, while, in reality, the distribution network or vertical structure from a manufacturer to a consumer takes various forms. The boundary of firms, or to what extent a firm wishes to extend its distribution or manufacturing process is not a trivial issue when firms develop sourcing strategies. A substantial number of recent studies in international trade have demonstrated systematic patterns in intra-firm trade patterns and price patterns. Inclusion of vertical chains possibly generates frictions by means of double-marginalization problem, asymmetric information and coordination issues, while the choice of vertical structure is an endogenous choice of transaction cost minimization and contractibility. The first part of work discusses the price patterns by documenting several facts about price rigidity using a large grocery retail data set. The role of retailers has been completely neglected in standard macro pricing models. However, consumers seldom interact with manufacturers directly, especially for grocery items. The assumption that retail level is negligible would be innocuous only if the wholesale price dynamics is similar to retail price dynamics. That is, only when retailers fully pass through the wholesale price to consumers and do not influence the prices that have been set by manufacturers would this assumption make sense. Using detailed information of weekly price and cost from a major retailer store that operates across the United States, we find strong evidence that retail price dynamics are completely different from manufacturer price dynamics. We find two main reasons for why retail prices cannot fully reflect wholesale prices. First, retailers cannot do so because retailers face costs of their own aside from wholesale price. Second, retailers react to variations in demand more directly than wholesalers. Pass-through rate of retailer cost (including wholesale price and extra costs to retailers) to retail price is incomplete. We also find that (1) retail pass-through rate is incomplete, (2) retail pass-through rate and retail price rigidity is negatively correlated, (3) categories with higher retail mark-up show lower pass-through rate, (4) price rigidity is heterogeneous across categories, (5) competition within a category shows positive correlation with pass-through rate, but the correlation is less obvious in the scatter plots and (6) retail price duration is shorter than wholesale price duration, while retail price duration is longer than retail cost duration. In a simple model where retailers play non-neutral role, we can successfully explain the empirical findings, while models with neutral retailers or no retailers fail to explain the findings. The second part of work discusses the relationship between the vertical structure and the price rigidity. In the job market paper, "Vertical Integration and Retail Pricing Facts for Macroeconomists: Private Label vs. National Brand" (co-authored with Nicholas Li), we propose to extend this analysis to retail behavior and also into closed economy using a data set that contains prices and wholesale costs for a retail chain that operates in the United States. The retailer owns numerous brands that are sold in its stores - ownership in this case implies control over branding, marketing and packaging in all cases and in many cases control over manufacturing as well. We call these private labels and consider equivalent to intra-firm in open macro literature. Beyond generalizing the findings of previous studies to the retail sector and a different data set, the significant growth of store-brands makes the impact of vertical integration in retail on intra and inter-national pricing behavior of independent interest. By analyzing the main dimensions of pricing (duration, cost pass-through and synchronization), we find that the private label goods show shorter price duration, greater cost shock pass-through and greater synchronization of price changes than national brands counterpart. These findings are consistent with previous literature using trade dataset. We compare two existing models that can potentially explain these facts -one featuring symmetric retail demand but different vertical structures/double-marginalization, and the other featuring demand asymmetry and price discrimination as a motive for sales to find evidence that two models are complementary. If vertical structure is endogenous, with vertically integrated lower-priced products gaining market share for product categories, we argue that it can serve as a potential multiplier for demand-based induced changes in retail pricing behavior. One example that shows retailers' non-neutral role in price-setting mechanism is the existence of sales at retail level. With a recent surge of micro-level data sets from various sources, researchers have been able to examine price dynamics at a disaggregate level and to test previously established macro-pricing models. A notable feature of price dynamics across all of these data sets is significant heterogeneity across products and sectors in measured pass-through and frequency due to temporary discounts, or sales. Previous studies have demonstrated that the retailer is largely responsible for the timing and size of temporary discounts. Sales prices behave qualitative and quantitatively different from regular prices. Yet, researchers have not reached a conclusion whether or not and how to incorporate intermittent price into crucial issues, such as, macro price-setting models and price index constructions. The core of the question is whether sales have any implications for business cycle and monetary neutrality. The question is also intimately related to how economic agents respond to shocks - how retailers adjust their profit-maximizing strategies, how consumers adjust their consumption patterns in response to cost shocks. The third chapter of work, "On the Cyclicality of Effective Prices" with Professors Yuriy Gorodnichenko and Olivier Coibin directly tackles this issue. We study the cyclical properties of sales, regular price changes and average prices paid by consumers in a dataset containing prices and quantities sold for numerous retailers across a variety of U.S. metropolitan areas. Both the frequency and size of sales fall when unemployment rates rise and yet the inflation rate of average prices paid by consumers declines with higher unemployment. This discrepancy can be reconciled by consumers reallocating their expenditures across retailers, a feature of the data which we document and quantify. The results point toward a cyclical mis-measurement of inflation which can account for part of the "missing disinflation" during the Great Recession.

Download or read book Studies of Supply and Demand in Higher Education written by Charles T. Clotfelter and published by University of Chicago Press. This book was released on 2008-04-15 with total page 308 pages. Available in PDF, EPUB and Kindle. Book excerpt: In the United States today, there are some 3,400 separately governed colleges and universities, amounting to a higher education industry with expenditures that constitute 2.8% of the gross national product. Yet, the economic issues affecting this industry have been paid relatively little attention. In this collection of eight essays, experts in economics and education bring economic analysis to bear on such underexamined topics as the nature of competition in higher education, higher education's use of resources, and who chooses to purchase what kind of education and why. In higher education, supply refers to such issues as government support for public colleges and universities, the means by which graduate programs allocate financial support to students, and the criteria that universities use for investing endowments. Demand pertains to patterns of student enrollment and to the government, business, and individual market for the service and research activities of higher education. Why are tuitions nearly the same among schools despite differences in prestige? How are institutions with small endowments able to compete successfully with institutions that have huge endowments? How are race and ethnicity reflected in enrollment trends? Where do the best students go? What choices among colleges do young people from low-income backgrounds face? This volume addresses these questions and suggests subjects for further study of the economics of higher education.