Competition and demographics

Mohammad Amin ()

No 4514, Policy Research Working Paper Series from The World Bank

Abstract: Mainstream economics views demographic changes in the structure of households as of little relevance for the behavior of firms or the functioning of markets. The present paper dispels this view by arguing that changes in the number of non-workers could affect the intensity with which consumers search for best prices and therefore the level of competition. The author also analyzes the relationship between income and competition, which some studies suggest is negative. The author argues that the negative relationship is most likely due to the demographic factors discussed.

Keywords: Markets and Market Access; Education for Development (superceded); Economic Theory&Research; Labor Policies; Emerging Markets (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-age, nep-com and nep-dev
Date: 2008-02-01
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