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ArtikelEconomic Consequences of VIE When Consumer are Constrained  
Oleh: Nagaoka, Sadao
Jenis: Article from Bulletin/Magazine
Dalam koleksi: JAPAN AND THE WORLD ECONOMY vol. 9 no. 4 (1997), page 557-566.
Topik: ECONOMICS; economic; VIE; consumer
Ketersediaan
  • Perpustakaan Pusat (Semanggi)
    • Nomor Panggil: JJ47.7
    • Non-tandon: 1 (dapat dipinjam: 0)
    • Tandon: tidak ada
    Lihat Detail Induk
Isi artikelThis paper, using a Bertrand model of duopoly competition, shows that voluntary import expansion (VIE) forced on consumers, instead of on a producer, is also significantly anticompetitive. VIE causes a higher price as well as higher average cost of supply. When firms can use non - linear pricing, VIE forces marginal cost pricing by the disadvantaged firm, so that it loses incentive for cost - reduction.
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