A Further Test of the Kinky Oligopoly Demand Curve.
Like Stigler's, these data on business magazines do not support the kinky oligopoly-demand-curve hypothesis. They give no indication that oligopolists change price less often than do monopolists, as the kinky-demand-curve hypothesis suggests they would. Institutional-organizational rigidities theref...
| Publicado en: | American Economic Review Vol. 59; no. 5; pp. 971 - 976 |
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| Formato: | Artículo |
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American Economic Association
Dec69
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| Acceso en línea: | Ver este registro en EBSCOhost |
| fields | @attributes: recordID: 1 pdfLink: plink: https://search.ebscohost.com/login.aspx?direct=true&db=hlh&AN=4504938&site=ehost-live header: @attributes: shortDbName: hlh uiTerm: 4504938 longDbName: Humanities International Complete uiTag: AN controlInfo: bkinfo: jinfo: jid: 00028282 AER jtl: American Economic Review issn: 00028282 maglogo: N pubinfo: dt: Dec69 vid: 59 iid: 5 pid: 22 pub: American Economic Association artinfo: ui: 4504938 ppf: 971 ppct: 5 formats: tig: atl: A Further Test of the Kinky Oligopoly Demand Curve. aug: au: Simon, Julian L. affil: Professor of Economics, Marketing, University of Illinois. su: Demand function Competition Oligopolies Decision trees Monopolies Bribery Profit Prices sug: subj: Demand function Competition Oligopolies Decision trees Monopolies Bribery Profit Prices ab: Like Stigler's, these data on business magazines do not support the kinky oligopoly-demand-curve hypothesis. They give no indication that oligopolists change price less often than do monopolists, as the kinky-demand-curve hypothesis suggests they would. Institutional-organizational rigidities therefore can account for all the rigidity in rates. This does not prove that business men do not imagine a kinky-demand curve, but only that the sum effect of their mental demand curves plus the quickening effects of competition produces no less flexibility than does monopoly. What these data, together with Stigler's, do prove, I think, is that a deterministic function of any kind is quite inadequate to represent oligopolistic reality. What is needed is a decision tree that portrays the probabilities of the several possible outcomes and the payoffs in revenue and profit as perceived by the oligopolist. pubtype: Academic Journal doctype: Article src: R language: English refInfo: copyright: @attributes: flag: Y dt: @attributes: year: 1969 holdings: @attributes: islocal: N |
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