Dynamics sales discriminate against uninformed consumers in a competitive market

Research output: Contribution to journalArticlepeer-review

Abstract

A dynamic version of the Salop and Stiglitz (1977) model of price dispersion is presented whose unique perfect equilibrium is a continuous function of the number of uninformed consumers in the market. In the limit as the number of uninformed consumers approaches zero, the equilibrium approaches the perfectly competitive one.

Original languageEnglish
Pages (from-to)23-25
Number of pages3
JournalEconomics Letters
Volume27
Issue number1
DOIs
StatePublished - 1988
Externally publishedYes

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