A Duopoly Model of Endogenous Product Choice with Economies of Scope

Simon Anderson

Working Paper from Economics Department, Queen's University

Abstract: This paper develops a model where two competing firms on a bounded line each sell two products. Production costs are lower for each firm the closer are its two products. There are three possible equilibria which may entail market segmentation, market interlacing or an intermediate case.

Pages: 49 pages
Date: 1984
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Persistent link: https://EconPapers.repec.org/RePEc:qed:wpaper:551

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