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| Tekijä: | Orlov, E. |
| Otsikko: | How does the internet influence price dispersion? Evidence from the airline industry |
| Lehti: | Journal of Industrial Economics
2011 : MAR, VOL. 59:1, p. 21-37 |
| Asiasana: | internet pricing airlines industrial organization competition |
| Kieli: | eng |
| Tiivistelmä: | I estimate the effect of internet on the level and dispersion of airline fares on a given route both within and across firms. The results indicate that increase in internet penetration lowers average price and leads to higher intrafirm price dispersion, while it does not affect interfirm price dispersion on a given route. Internet penetration affects average fares most powerfully in competitive markets. The results suggest that internet has substantially but subtlely influenced domestic airline competition. The effect of the internet on prices and price dispersion is more substantial on direct flights. |
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