Cost Flexibility and Price Dispersion
Cost Flexibility and Price Dispersion
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DOI:
10.2307/2098402
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发表时间:
1989-09
影响因子:
1.3
通讯作者:
L. Hiebert
中科院分区:
文献类型:
--
作者:
L. Hiebert
This paper examines the relationship between a firm's cost flexibility and product price dispersion. The author shows that a mean-preserving increase in demand variability need not lead to an increase in the value of flexibility or in the optimal level of flexibility. This is contrary to results in the literature that are achieved by assuming a quadratic cost curve. Copyright 1989 by Blackwell Publishing Ltd.