Finitely repeated search and the diamond paradox

Autor: Arthur Fishman
Rok vydání: 2021
Předmět:
Zdroj: Economics Letters. 205:109933
ISSN: 0165-1765
DOI: 10.1016/j.econlet.2021.109933
Popis: The Diamond paradox (Diamond, 1971) asserts that in a market for a homogeneous good, if all consumers have positive search costs and search sequentially, then the unique equilibrium price is the monopoly price. I show that any finitely repeated version of this search game may support competitive prices.
Databáze: OpenAIRE