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Environmental Regulation, Market Power and Price Discrimination in the Agricultural Chemical Industry

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Author Info
Smith, Vincent H.
Johnson, James B.
Abstract

Chemical companies generally support environmental regulatory segregation Canadian and U.S. agricultural chemical markets, apparently because it enables them to practice third order price discrimination. This study provides new cross section evidence that suggests price discrimination is practiced. We examine the potential implications chemical market desegregation for agricultural chemical prices, farmer welfare, and consumer welfare.

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File URL: http://purl.umn.edu/19520
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Publisher Info
Paper provided by American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association) in its series 2005 Annual meeting, July 24-27, Providence, RI with number 19520.

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Date of creation: 2005
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Handle: RePEc:ags:aaea05:19520

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Related research
Keywords: price discrimination; agricultural chemicals; economic welfare; Environmental Economics and Policy;

References listed on IDEAS
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  1. Carlson, John A & McAfee, R Preston, 1983. "Discrete Equilibrium Price Dispersion," Journal of Political Economy, University of Chicago Press, vol. 91(3), pages 480-93, June. [Downloadable!] (restricted)
  2. John McMillan & Peter B. Morgan, 1988. "Price Dispersion, Price Flexibility, and Repeated Purchasing," Canadian Journal of Economics, Canadian Economics Association, vol. 21(4), pages 883-902, November. [Downloadable!] (restricted)
  3. Sofronis K. Clerides, 2004. "Price Discrimination with Differentiated Products: Definition and Identification," Economic Inquiry, Oxford University Press, vol. 42(3), pages 402-412, July. [Downloadable!] (restricted)
  4. George J. Stigler, 1961. "The Economics of Information," Journal of Political Economy, University of Chicago Press, vol. 69, pages 213. [Downloadable!] (restricted)
  5. Alan T. Sorensen, 2000. "Equilibrium Price Dispersion in Retail Markets for Prescription Drugs," Journal of Political Economy, University of Chicago Press, vol. 108(4), pages 833-862, August. [Downloadable!] (restricted)
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This page was last updated on 2009-12-26.


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