Incorporating Quality-Differentiated Demand into the Undergraduate Microeconomics Core

Charles F. Adams

The American Economist, 2023, vol. 68, issue 2, 326-335

Abstract: This paper addresses quality-related aspects of consumer choice in undergraduate microeconomics and is divided into two sections. The first develops a conceptual framework underlying a linear demand structure for quality-differentiated goods. The second section incorporates a quality-differentiated demand structure into a conventional undergraduate critique of market efficiency in responding to consumer choice. A competitive market is shown to produce the optimal quality mix of a quality-differentiated good, while a monopolist is biased in favour of higher quality and a potentially suboptimal quality mix.

Keywords: undergraduate microeconomics; quality-differentiated demand; competition and monopoly (search for similar items in EconPapers)
Date: 2023
References: Add references at CitEc
Citations:

Downloads: (external link)
https://journals.sagepub.com/doi/10.1177/05694345221100710 (text/html)

Related works:
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:sae:amerec:v:68:y:2023:i:2:p:326-335

DOI: 10.1177/05694345221100710

Access Statistics for this article

More articles in The American Economist from Sage Publications
Bibliographic data for series maintained by SAGE Publications ().