Workers’skills and product selection
AbstractWhen the production of high quality goods needs the employment of qualified labour, firms’ decisions concerning quality are affected by the extent to which skills are abundant. By means of a comparison between monopoly and perfect competition, we show how market power in such a context may entail a distorsion in product selection towards too high average quality
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Bibliographic InfoPaper provided by Université catholique de Louvain, Center for Operations Research and Econometrics (CORE) in its series CORE Discussion Papers with number 1999006.
Date of creation: 01 Jan 1999
Date of revision:
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product selection; vertical differentiation; market power; human capital;
Other versions of this item:
- Jean Gabszewicz & Alessandro Turrini, 1999. "Workers' Skills and Product Selection," Revue Économique, Programme National Persée, vol. 50(3), pages 383-391.
- Alessandro Turrini & Jean Gabszewicz, 1999. "Workers' Skills and Product Selection," Revue économique, Presses de Sciences-Po, vol. 0(3), pages 383-391.
- D4 - Microeconomics - - Market Structure and Pricing
- J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
- L13 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Oligopoly and Other Imperfect Markets
- L15 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Information and Product Quality
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