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| Hiroshi Aiura |
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| ''Wholesale price discrimination and enforcement of regulation'' |
| ( 2010, Vol. 30 No.3 ) |
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| The present paper studied third-degree price discrimination in wholesale markets and its welfare property when a monopolistic manufacturer sells his/her products to two retailers who have different qualities and costs of sales. Our results revealed that price discrimination within a certain extent increases social welfare under some conditions, which would support the soft enforcement of prohibiting price discrimination by a monopolistic wholesaler. |
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| Keywords: Third-degree price discrimination, Price competition with vertical differentiation, Upstream-Downstream relationships |
JEL: L1 - Market Structure, Firm Strategy, and Market Performance: General
K2 - Regulation and Business Law: General |
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| Manuscript Received : Apr 02 2010 | | Manuscript Accepted : Aug 12 2010 |
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