QUALITY DIFFERENCES, THIRD-DEGREE PRICE DISCRIMINATION, AND WELFARE.

We propose a model with two markets to analyze the welfare implications of price discrimination with quality differences. In each market a local firm that operates in that market only competes against a global firm that operates in both markets. Local firms produce higher-quality goods than the glob...

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Bibliographic Details

Published in:	Economic Inquiry Vol. 55; no. 1; pp. 339 - 352
Main Authors:	Galera, Francisco, Mendi, Pedro, Molero, Juan Carlos
Format:	Article
Published:	Wiley-Blackwell Jan2017
Subjects:	Public welfare Price discrimination Government pricing policy Market design & structure (Economics) Economic research
Online Access:	View this record in EBSCOhost