Jump to ContentJump to Main Navigation
Show Summary Details
More options …

Jürges, Hendrik

The B.E. Journal of Economic Analysis & Policy

Editor-in-Chief: Ludwig, Sandra / Schmitz, Hendrik

Ed. by Barigozzi, Francesca / Brunner, Johann / Fleck, Robert / Mastrobuoni, Giovanni / Mendola, Mariapia / Requate, Till / de Vries, Frans / Wenzel, Tobias


IMPACT FACTOR 2018: 0.520
5-year IMPACT FACTOR: 0.556

CiteScore 2018: 0.54

SCImago Journal Rank (SJR) 2018: 0.356
Source Normalized Impact per Paper (SNIP) 2018: 0.394

Online
ISSN
1935-1682
See all formats and pricing
More options …
Volume 12, Issue 1

Issues

Volume 6 (2006)

Volume 4 (2004)

Volume 2 (2002)

Volume 1 (2001)

Price-Dependent Demand in Spatial Models

Yiquan Gu / Tobias Wenzel
Published Online: 2012-03-11 | DOI: https://doi.org/10.1515/1935-1682.3126

Abstract

This paper introduces price-dependent individual demand into the circular city model of product differentiation. We show that for any finite number of firms, an unique symmetric price equilibrium exists provided that demand functions are not “too” convex. As in the case of unit demand, the number of firms under free entry decreases in the fixed cost of entry while increases in the transportation cost of consumers. However, this number is no longer always in excess of the socially optimal level. Insufficient entry occurs when the fixed and transportation costs are high.

Keywords: spatial models; price-dependent demand; horizontal product differentiation; excess entry theorem

About the article

Published Online: 2012-03-11


Citation Information: The B.E. Journal of Economic Analysis & Policy, Volume 12, Issue 1, ISSN (Online) 1935-1682, DOI: https://doi.org/10.1515/1935-1682.3126.

Export Citation

©2012 Walter de Gruyter GmbH & Co. KG, Berlin/Boston.Get Permission

Citing Articles

Here you can find all Crossref-listed publications in which this article is cited. If you would like to receive automatic email messages as soon as this article is cited in other publications, simply activate the “Citation Alert” on the top of this page.

[1]
Linfeng Chen
SSRN Electronic Journal , 2018
[3]
Adriaan Hendrik van der Weijde, Erik T. Verhoef, and Vincent A.C. van den Berg
SSRN Electronic Journal, 2012
[4]
Yiquan Gu, Alexander Rasch, and Tobias Wenzel
Papers in Regional Science, 2016, Volume 95, Number 4, Page 865

Comments (0)

Please log in or register to comment.
Log in