Original paper
Does price discrimination make collusion less likely? a delivered pricing model
Abstract
This paper compares the stability of collusion under delivered spatial price discrimination and under uniform pricing. Uniquely using a model of elastic demand, we show that collusion under price discrimination can be more stable thus facilitating collusion and making it more likely. This result holds only when the entire market is competitive. Whenever there exist natural monopoly portions of the spatial market, collusion on the remaining...
Paper Details
Title
Does price discrimination make collusion less likely? a delivered pricing model
Published Date
Apr 24, 2020
Journal
Volume
131
Issue
1
Pages
39 - 60
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