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Parallel Imports and Music CD Prices

Author

Listed:
  • Yeh-ning Chen

    (National Taiwan Univ)

  • Ivan Png

    (National Univ of Singapore)

Abstract

Parallel imports are a significant academic and policy issue. Official investigations into the impact of parallel imports on music CD prices have reached widely conflicting conclusions. This note reports an event study on an international panel of changes in copyright law to permit or disallow parallel imports. The study shows that, on average, legalization of parallel imports was associated with a 7.2–7.9% reduction in the retail price of music CDs.

Suggested Citation

  • Yeh-ning Chen & Ivan Png, 2004. "Parallel Imports and Music CD Prices," International Trade 0402001, University Library of Munich, Germany.
  • Handle: RePEc:wpa:wuwpit:0402001
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    File URL: https://econwpa.ub.uni-muenchen.de/econ-wp/it/papers/0402/0402001.pdf
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    References listed on IDEAS

    as
    1. Gallini, Nancy T. & Hollis, Aidan, 1999. "A contractual approach to the gray market," International Review of Law and Economics, Elsevier, vol. 19(1), pages 1-21, March.
    2. Theo Papadopoulos, 2000. "Copyright, Parallel Imports and National Welfare: The Australian Market for Sound Recordings," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 33(4), pages 337-348.
    3. Keith E. Maskus, 2000. "Parallel Imports," The World Economy, Wiley Blackwell, vol. 23(9), pages 1269-1284, September.
    Full references (including those not matched with items on IDEAS)

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    Cited by:

    1. Gil Ricard, 2006. "The Economics of IPR Protection Policies," Review of Network Economics, De Gruyter, vol. 5(3), pages 1-21, September.

    More about this item

    Keywords

    parallel imports; gray markets; price discrimination;

    JEL classification:

    • D43 - Microeconomics - - Market Structure, Pricing, and Design - - - Oligopoly and Other Forms of Market Imperfection
    • F15 - International Economics - - Trade - - - Economic Integration
    • L13 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Oligopoly and Other Imperfect Markets

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