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The Economics of Books

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Author Info
Canoy, Marcel
van der Ploeg, Frederick
van Ours, Jan C

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Abstract

The tensions between books and book markets as expressions of culture and books as products in profit-making businesses are analysed and insights from the theory of industrial organisation are given. Governments intervene in the market for books through laws concerning prices of books, grants for authors and publishers, a lower value-added tax, public libraries and education in order to stimulate the diversity of books on offer, increase the density of retail outlets and to promote reading. An overview of the different ways by which countries differ in terms of market structures and government policies is given. Particular attention is paid to retail price maintenance. Due to differences between European countries it is not a good idea to harmonise European book policies. Our analysis suggests that the book market seems quite able to invent solutions to specific problems of the book trade and that, apart from promoting reading, there is little need for government intervention.

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Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number 4892.

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Date of creation: Feb 2005
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Handle: RePEc:cpr:ceprdp:4892

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Related research
Keywords: authors books diversity internet libraries monopolistic competition publishers retail price maintenance subsidies

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Find related papers by JEL classification:
D40 - Microeconomics - - Market Structure and Pricing - - - General
D60 - Microeconomics - - Welfare Economics - - - General
L10 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - General
L40 - Industrial Organization - - Antitrust Issues and Policies - - - General
Z11 - Other Special Topics - - Cultural Economics - - - Economics of the Arts and Literature

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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    Other versions:
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    Other versions:
  3. Holahan, William L., 1979. "A theoretical analysis of resale price maintenance," Journal of Economic Theory, Elsevier, vol. 21(3), pages 411-420, December. [Downloadable!] (restricted)
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    Other versions:
  15. Ottaviano, G.I.P. & Thisse, J.-F., 1999. "Monopolistic Competition, Multiproduct Firms and Optimum Product Diversity," Papers 9919, Catholique de Louvain - Center for Operations Research and Economics.
    Other versions:
  16. Yetkiner, I. Hakan & Horvath, Csilla, 2000. "Macroeconomic implications of virtual shopping : a theoretical approach," CCSO Working Papers 200004, University of Groningen, CCSO Centre for Economic Research. [Downloadable!]
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    Other versions:
  19. Frederick van der Ploeg, 2003. "Beyond the Dogma of the Fixed Book Price Agreement," CESifo Working Paper Series CESifo Working Paper No. , CESifo GmbH. [Downloadable!]
    Other versions:
Full references

Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Ours, Jan C. van, 2006. "Children reading fiction books because they want to," Discussion Paper 3, Tilburg University, Center for Economic Research. [Downloadable!]
  2. van Ours, Jan C, 2006. "Children Reading Fiction Books Because They Want To," CEPR Discussion Papers 5472, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
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