Fixed-fee Pricing and Entry

Ryoko Oki ()
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Ryoko Oki: College of Commerce, Nihon University

Economics Bulletin, 2015, vol. 35, issue 1, 233-240

Abstract: This study considers the anti-competitive effect of fixed-fee pricing, such as the one seen in a recent antitrust case in Japan. We show that fixed-fee pricing has stronger exclusionary effect than the per-use pricing's exclusionary effect. However, the restriction on usage of fixed-fee pricing may have a welfare-decreasing effect, although the restriction promotes entry.

Keywords: Fixed-fee pricing; Antitrust policy (search for similar items in EconPapers)
JEL-codes: K2 L4 (search for similar items in EconPapers)
Date: 2015-03-11
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