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A Textbook Example of International Price Discrimination

  • Christos Cabolis
  • Sofronis Clerides
  • Ioannis Ioannou
  • Daniel Senft

We investigate differences in book prices between the United States and other countries. We find that general audience books are similarly priced internationally, but textbooks are substantially more expensive in the United States (often more than double the price). This disparity is much more pronounced for commercial publishers than for university presses. We argue that supply-side factors like cost and market structure can not explain this phenomenon. We discuss several demand-side explanations; our preferred theory is that higher US textbook prices reflect the unique status of the textbook as a centerpiece of US college instruction.

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File URL: http://papers.econ.ucy.ac.cy/RePEc/papers/3-2005.pdf
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Paper provided by University of Cyprus Department of Economics in its series University of Cyprus Working Papers in Economics with number 3-2005.

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Length: 18 pages
Date of creation: Sep 2005
Date of revision:
Handle: RePEc:ucy:cypeua:3-2005
Contact details of provider: Web page: http://www.econ.ucy.ac.cy

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  13. Cabolis, Christos & Clerides, Sofronis & Ioannou, Ioannis & Senft, Daniel, 2007. "A textbook example of international price discrimination," Economics Letters, Elsevier, vol. 95(1), pages 91-95, April.
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