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Asymmetric Substitutability: Theory And Some Applications

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  • KRIS DE JAEGHER

Abstract

"Economists usually describe goods as being either (gross) complements or (gross) substitutes. Yet, what is less known is that one good may be a gross substitute for a second good, while the second good is a gross complement to the first good. This article develops a theory of asymmetric gross substitutability and suggests some potential examples and applications." ("JEL" D11) Copyright (c) 2008 Western Economic Association International.

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Bibliographic Info

Article provided by Western Economic Association International in its journal Economic Inquiry.

Volume (Year): 47 (2009)
Issue (Month): 4 (October)
Pages: 838-855

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Handle: RePEc:bla:ecinqu:v:47:y:2009:i:4:p:838-855

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References

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  1. Kris De Jaegher, 2008. "Benchmark Two-Good Utility Functions," Manchester School, University of Manchester, vol. 76(1), pages 44-65, 01.
  2. Cadima, Nuno & Pita Barros, Pedro Luis, 2000. "The Impact of Mobile Phone Diffusion on the Fixed-Link Network," CEPR Discussion Papers 2598, C.E.P.R. Discussion Papers.
  3. Raj Sethuraman & V. Srinivasan & Doyle Kim, 1999. "Asymmetric and Neighborhood Cross-Price Effects: Some Empirical Generalizations," Marketing Science, INFORMS, vol. 18(1), pages 23-41.
  4. Duncan CAMPBELL, 2001. "Can the digital divide be contained?," International Labour Review, International Labour Organization, vol. 140(2), pages 119-141, 06.
  5. Jean-S├ębastien Lenfant, 2006. "Complementarity and Demand Theory: From the 1920s to the 1940s," History of Political Economy, Duke University Press, vol. 38(5), pages 48-85, Supplemen.
  6. Azariadis, Costas, 1976. "On the Incidence of Unemployment," Review of Economic Studies, Wiley Blackwell, vol. 43(1), pages 115-25, February.
  7. Greg M. Allenby & Peter E. Rossi, 1991. "Quality Perceptions and Asymmetric Switching Between Brands," Marketing Science, INFORMS, vol. 10(3), pages 185-204.
  8. Nirvikar Singh & Xavier Vives, 1984. "Price and Quantity Competition in a Differentiated Duopoly," RAND Journal of Economics, The RAND Corporation, vol. 15(4), pages 546-554, Winter.
  9. Kelvin J. Lancaster, 1966. "A New Approach to Consumer Theory," Journal of Political Economy, University of Chicago Press, vol. 74, pages 132.
  10. George J. Stigler, 1947. "Notes on the History of the Giffen Paradox," Journal of Political Economy, University of Chicago Press, vol. 55, pages 152.
  11. Garbacz, Christopher & Thompson Jr, Herbert G., 2007. "Demand for telecommunication services in developing countries," Telecommunications Policy, Elsevier, vol. 31(5), pages 276-289, June.
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Cited by:
  1. K.J.M. De Jaegher, 2010. "Giffen Behaviour and Asymmetric Substitutability," Working Papers 10-16, Utrecht School of Economics.
  2. Banerjee, Dyuti S. & Chatterjee, Ishita, 2014. "Exploring Stackelberg profit ordering under asymmetric product differentiation," Economic Modelling, Elsevier, vol. 36(C), pages 309-315.
  3. Andrikopoulos, Athanasios & Markellos, Raphael. N, 2012. "Dynamic interaction between markets for leasing and selling automobiles," MPRA Paper 45225, University Library of Munich, Germany.

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