Price Leadership and Discrimination in the European Car Market
Alan Kirman and
Nathalie Schueller
Journal of Industrial Economics, 1990, vol. 39, issue 1, 69-91
Abstract:
This paper explains differences in the price of the same good in different markets. In the authors' model, n producers each play the role of Stackelberg leader on their own market and there is one market with no domestic producer. The authors show that, even without demand differences between markets, pretax prices will be higher on markets where there are high-cost domestic producers and where taxes are low. Evidence from the European car market, based on time series for individual models, supports these results. Furthermore, as the model suggests, exchange rate changes are not passed through to car prices. Copyright 1990 by Blackwell Publishing Ltd.
Date: 1990
References: Add references at CitEc
Citations: View citations in EconPapers (29)
Downloads: (external link)
http://links.jstor.org/sici?sici=0022-1821%2819900 ... 0.CO%3B2-9&origin=bc full text (application/pdf)
Access to full text is restricted to JSTOR subscribers. See http://www.jstor.org for details.
Related works:
Working Paper: PRICE LEADERSHIP AND DISCRIMINATION IN THE EUROPEAN CAR MARKET (1990)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
HTML/Text
Persistent link: https://EconPapers.repec.org/RePEc:bla:jindec:v:39:y:1990:i:1:p:69-91
Ordering information: This journal article can be ordered from
http://www.blackwell ... bs.asp?ref=0022-1821
Access Statistics for this article
Journal of Industrial Economics is currently edited by Pierre Regibeau, Yeon-Koo Che, Kenneth Corts, Thomas Hubbard, Patrick Legros and Frank Verboven
More articles in Journal of Industrial Economics from Wiley Blackwell
Bibliographic data for series maintained by Wiley Content Delivery ().