Economics, Econometrics and Finance
4 years ago

Duopolistic firms' pricing strategies impact market competition and consumer prices.

1 view
Pricing Policy and Partial Collusion
Stefano Colombo

Paper Summary

The article explores how companies decide on pricing strategies in a competitive market. When firms have high or low discount factors, they both use price discrimination. If the discount factor is in the middle and firms are similar in size, only the smaller firm uses price discrimination. But if firms are different in size, both may or may not use price discrimination.

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