Equilibrium Price Dispersion Across and Within Stores /
Menzio, Guido.
Equilibrium Price Dispersion Across and Within Stores / Guido Menzio, Nicholas Trachter. - Cambridge, Mass. National Bureau of Economic Research 2015. - 1 online resource: illustrations (black and white); - NBER working paper series no. w21493 . - Working Paper Series (National Bureau of Economic Research) no. w21493. .
August 2015.
We develop a search-theoretic model of the product market that generates price dispersion across and within stores. Buyers differ with respect to their ability to shop around, both at different stores and at different times. The fact that some buyers can shop from only one seller while others can shop from multiple sellers causes price dispersion across stores. The fact that the buyers who can shop from multiple sellers are more likely to be able to shop at inconvenient times (e.g., on Monday morning) causes price dispersion within stores. Specifically, it causes sellers to post different prices for the same good at different times in order to discriminate between different types of buyers.
System requirements: Adobe [Acrobat] Reader required for PDF files.
Mode of access: World Wide Web.
Equilibrium Price Dispersion Across and Within Stores / Guido Menzio, Nicholas Trachter. - Cambridge, Mass. National Bureau of Economic Research 2015. - 1 online resource: illustrations (black and white); - NBER working paper series no. w21493 . - Working Paper Series (National Bureau of Economic Research) no. w21493. .
August 2015.
We develop a search-theoretic model of the product market that generates price dispersion across and within stores. Buyers differ with respect to their ability to shop around, both at different stores and at different times. The fact that some buyers can shop from only one seller while others can shop from multiple sellers causes price dispersion across stores. The fact that the buyers who can shop from multiple sellers are more likely to be able to shop at inconvenient times (e.g., on Monday morning) causes price dispersion within stores. Specifically, it causes sellers to post different prices for the same good at different times in order to discriminate between different types of buyers.
System requirements: Adobe [Acrobat] Reader required for PDF files.
Mode of access: World Wide Web.