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- Title
A GUIDE TO THE PITFALLS OF IDENTIFYING PRICE DISCRIMINATION.
- Authors
Lott Jr., John R.; Roberts, Russell D.
- Abstract
This paper demonstrates that plausible cost-based explanations exist for what are commonly perceived to be cases of price discrimination. We explain such commonly discussed problems as the price spreads of retail gasoline products, the "high" price of dinners at restaurants, the "high" price of popcorn at movie theaters, and the fact that airline ticket prices vary with how long the ticket is purchased before the flight's departure. Our explanations benefit from not relying on consumer ignorance or implicit collusion among numerous sellers.
- Subjects
PRICE discrimination; PRICING; GAS prices; TICKETS; PRICES
- Publication
Economic Inquiry, 1991, Vol 29, Issue 1, p14
- ISSN
0095-2583
- Publication type
Article
- DOI
10.1111/j.1465-7295.1991.tb01249.x