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A General Equilibrium Model with Impersonal Networking Decisions and Bundling Sales

In: The Economics of E-Commerce and Networking Decisions

Author

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  • Ke Li

Abstract

The purpose of this chapter is to investigate the function of a particular type of bundling sales in exploiting the network effect of the division of labour, and in promoting increases in productivity. First we shall survey the existing literature on bundling and tying sales. Then, we move on to consider some common internet phenomena which cannot be predicted by the existing approaches. Finally, we will formulate the effects of bundling sales on the network size of the division of labour by drawing from the literature on endogenous specialization and the network effect of division of labour.

Suggested Citation

  • Ke Li, 2003. "A General Equilibrium Model with Impersonal Networking Decisions and Bundling Sales," Palgrave Macmillan Books, in: Yew-Kwang Ng & Heling Shi & Guang-Zhen Sun (ed.), The Economics of E-Commerce and Networking Decisions, chapter 6, pages 101-133, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-1-4039-3837-4_6
    DOI: 10.1057/9781403938374_6
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    Cited by:

    1. Xueping Jiang & Jen-Mei Chang & Hui Sun, 2019. "Inframarginal Model Analysis of the Evolution of Agricultural Division of Labor," Mathematics, MDPI, vol. 7(12), pages 1-14, December.
    2. Wen, Mei, 2004. "E-commerce, productivity, and fluctuation," Journal of Economic Behavior & Organization, Elsevier, vol. 55(2), pages 187-206, October.
    3. Cheng, Wenli & Yang, Xiaokai, 2004. "Inframarginal analysis of division of labor: A survey," Journal of Economic Behavior & Organization, Elsevier, vol. 55(2), pages 137-174, October.

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