Deregulating Down to Six-Feet-Under? An Econometric Analysis of a Local Funeral Market

Thierry Blayac, Patrice Bougette () and Christian Montet
Additional contact information
Patrice Bougette: GREDEG - Groupe de Recherche en Droit, Economie et Gestion - UNS - Université Nice Sophia Antipolis (1965 - 2019) - CNRS - Centre National de la Recherche Scientifique - UniCA - Université Côte d'Azur

Post-Print from HAL

Abstract: This paper provides an assessment of the competitive effects of deregulation on a local market that exhibits typical competitive conditions in the French funeral industry. Using a nested logit model, we first show that demand for funeral services is characterized by relatively high price elasticities, which is contrary to widely shared beliefs. Various simulations of price increases by the leader, using a kind of SSNIP test, show that its market power is lower than expected. Our study of the competitive role of `funeral rooms' and of new entries in this type of service suggests that the remaining issues concerning possible improvements of the competitive process are linked with current regulations, especially those surrounding the management of funeral rooms.

Keywords: Funeral industry; Local competition; Market Power; Stated preferences; Discrete choice model (search for similar items in EconPapers)
Date: 2009-06-19
References: Add references at CitEc
Citations:

Published in Industrial Organization: Theory, Empirics, and Experiments, Jun 2009, Lecce, Italy

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
Working Paper: Deregulating Down to Six-Feet-Under? An Econometric Analysis of a Local Funeral Market (2009)
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:hal:journl:halshs-00466310

Access Statistics for this paper

More papers in Post-Print from HAL
Bibliographic data for series maintained by CCSD ().