Price discrimination and price sensitivity in the car market: working paper, comment welcome

Pim Heijnen
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Pim Heijnen: Groningen University

No 200302, CCSO Working Papers from University of Groningen, CCSO Centre for Economic Research

Abstract: The model in Verboven (2002) is extended to include non-zero price elasticities and behavior in the fuel market is modelled explicitly. With the aid of simulations it is shown, that this makes quite a difference and, therefore, might lead to bias in parameter estimates.

Date: 2002
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