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Causes of retail price fixity: an empirical analysis

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  • Richards, Timothy J.
  • Patterson, Paul M.

Abstract

Existing empirical studies do not provide a unifying explanation for retail price fixity. However, economic hysteresis, or the persistence of an economic phenomenon after its initial cause has disappeared, offers a general explanation. Estimates of an empirical model of retail-price hysteresis using store-level scanner data support our hypothesis.
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  • Richards, Timothy J. & Patterson, Paul M., 2004. "Causes of retail price fixity: an empirical analysis," Journal of Economics and Business, Elsevier, vol. 56(2), pages 117-136.
    • Handle: RePEc:eee:jebusi:v:56:y:2004:i:2:p:117-136
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