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Clause de non-renouvellement et rigidité des prix. Résultats sur le secteur de l'édition en France

Author

Listed:
  • Michel Beine
  • Étienne Farvaque

Abstract

The paper deals with the fear-of-losing-customers argument for price rigidity. We address the following question: does the fact that customers are subject to non-renewal clause foster price flexibility? Using a new database in which customers are forced to change their subscription each year, we find that sluggishness in price adjustment exists even when customers are forced to shift from one product to another. Our empirical methodology also allows to account for unobserved heterogeneity and other features of the publishing sector. Classification JEL : C23, E3, E31

Suggested Citation

  • Michel Beine & Étienne Farvaque, 2011. "Clause de non-renouvellement et rigidité des prix. Résultats sur le secteur de l'édition en France," Revue économique, Presses de Sciences-Po, vol. 62(1), pages 57-66.
    • Handle: RePEc:cai:recosp:reco_621_0057
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    References listed on IDEAS

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    More about this item

    JEL classification:

    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
    • E3 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles
    • E31 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Price Level; Inflation; Deflation

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