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    Protecting sticky consumers in essential markets

    Beckert, Walter and Siciliani, P. (2022) Protecting sticky consumers in essential markets. Review of Industrial Organization 61 , pp. 247-278. ISSN 0889-938X.

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    This paper studies regulatory policy interventions that are aimed at protecting sticky consumers who are exposed to the risk of being taken advantage of. We model heterogeneous consumer switching costs alongside asymmetric market shares. This setting encompasses many markets in which established firms are challenged by new entrants. We identify circumstances under which such interventions can be counterproductive: with regard to the stated consumer protection objective and also with regard to the complementary aim to promote competition.


    Item Type: Article
    Keyword(s) / Subject(s): switching costs, price discrimination, uniform pricing, most-favoured customer clauses, price regulation, competition
    School: Birkbeck Faculties and Schools > Faculty of Business and Law > Birkbeck Business School
    Depositing User: Administrator
    Date Deposited: 25 Jul 2022 12:54
    Last Modified: 24 Aug 2023 00:10

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