Monopolistic Product Line Competition with Ex Post Consumer Heterogeneity

DOI: 10.4236/tel.2014.42023   PDF   HTML   XML   3,586 Downloads   5,063 Views  

Abstract

We model monopolistic competition in product lines, assuming that consumer heterogeneity is the result rather than the cause of product variety. Our results contradict some well-known policy implications yielded by the standard monopolistic competition framework.

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Georgantzís, N. and García-Gallego, A. (2014) Monopolistic Product Line Competition with Ex Post Consumer Heterogeneity. Theoretical Economics Letters, 4, 155-165. doi: 10.4236/tel.2014.42023.

Conflicts of Interest

The authors declare no conflicts of interest.

References

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