haku: @author Besanko, D. / yhteensä: 15
viite: 12 / 15
| Tekijä: | Besanko, D. Perry, M. K. Spady, R. H. |
| Otsikko: | The logit model of monopolistic competition: brand diversity. |
| Lehti: | Journal of Industrial Economics
1990 : JUN, VOL. 38:4, p. 397-415 |
| Asiasana: | BRANDS COMPETITION MONOPOLY ECONOMETRIC MODELS |
| Kieli: | eng |
| Tiivistelmä: | A traditional question on monopolistic competition concerns whether free entry equilibrium will provide sufficient variety of differentiated brands. Using the logit choice model to capture brand differentiation, this variety issue is examined. The consumption value of each brand is drawn from the extreme value distribution. With the resulting demand structure, it was found that monopolistic competition results in too few firms and thus too few brands from the viewpoint of consumers. This result supports the findings of other models with symmetrically differentiated brands. It is argued that the logit model of monopolistic competition will be useful in other settings to address more specific policy questions. |
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