Does Large Price Discrimination Imply Great Market Power?
A simple model demonstrates that there is no theoretical connection between the extent of price discrimination and the extent of market power.
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"On the strategic choice of spatial price policy,"
CORE Discussion Papers
1987008, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
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- Steven C. Salop, 1979. "Monopolistic Competition with Outside Goods," Bell Journal of Economics, The RAND Corporation, vol. 10(1), pages 141-156, Spring.
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