Input price discrimination in endogenous competition mode: comment

Qing Hu () and Shuxiao Chen ()
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Qing Hu: Faculty of Economics, Kushiro Public University of Economics
Shuxiao Chen: School of Marxism, Xi’an Jiaotong University

The Japanese Economic Review, 2024, vol. 75, issue 3, No 7, 473-478

Abstract: Abstract We correct the calculation in Choi and Lim (The Japanese Economic Review 74(2):301–330, 2023) and show that under input price discrimination, the asymmetric outcome that the inefficient retailer chooses Cournot competition and the efficient retailer chooses Bertrand competition never happens. Instead, Cournot competition is the equilibrium.

Keywords: Endogenous choice; Asymmetric cost; Price discrimination (search for similar items in EconPapers)
Date: 2024
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DOI: 10.1007/s42973-023-00134-5

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