The Timing of Purchases, Market Power, and Economic Fluctuations
AbstractThis paper analyzes a market in which sellers have power market and set price taking into account the ability of buyers to time their purchases. I demonstrate that expected fluctuations in demand are inherently fluctuations in the elasticity of demand, leading to smaller markups on the up-side of booms.
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Bibliographic InfoPaper provided by Wisconsin Madison - Social Systems in its series Working papers with number 9723.
Length: 33 pages
Date of creation: 1997
Date of revision:
Contact details of provider:
Postal: UNIVERSITY OF WISCONSIN MADISON, SOCIAL SYSTEMS RESEARCH INSTITUTE(S.S.R.I.), MADISON WISCONSIN 53706 U.S.A.
PRICING ; DEMAND ; FLUCTUATIONS;
Find related papers by JEL classification:
- D40 - Microeconomics - - Market Structure and Pricing - - - General
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