Let's lock them in: Collusion under consumer switching costs
Author
Abstract
Suggested Citation
DOI: 10.1016/j.ijindorg.2023.103018
Download full text from publisher
As the access to this document is restricted, you may want to search for a different version of it.
References listed on IDEAS
- David J. Cooper & Kai-Uwe K?hn, 2014.
"Communication, Renegotiation, and the Scope for Collusion,"
American Economic Journal: Microeconomics, American Economic Association, vol. 6(2), pages 247-278, May.
- Kühn, Kai-Uwe & Cooper, David J., 2009. "Communication, Renegotiation, and the Scope for Collusion," CEPR Discussion Papers 7563, C.E.P.R. Discussion Papers.
- Jeannette Brosig & Joachim Weimann & Axel Ockenfels, 2003.
"The Effect of Communication Media on Cooperation,"
German Economic Review, Verein für Socialpolitik, vol. 4(2), pages 217-241, May.
- Jeannette Brosig & Axel Ockenfels & Joachim Weimann, 2002. "The Effect of Communication Media on Cooperation," Papers on Strategic Interaction 2002-17, Max Planck Institute of Economics, Strategic Interaction Group.
- A. Jorge Padilla, 1992. "Mixed Pricing in Oligopoly with Consumer Switching Costs," Working Papers wp1992_9203, CEMFI.
- Paul Klemperer, 1995. "Competition when Consumers have Switching Costs: An Overview with Applications to Industrial Organization, Macroeconomics, and International Trade," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 62(4), pages 515-539.
- Suleymanova Irina & Wey Christian, 2011.
"Bertrand Competition in Markets with Network Effects and Switching Costs,"
The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 11(1), pages 1-58, September.
- Irina Suleymanova & Christian Wey, 2008. "Bertrand Competition in Markets with Network Effects and Switching Costs," Discussion Papers of DIW Berlin 796, DIW Berlin, German Institute for Economic Research.
- Suleymanova, Irina & Wey, Christian, 2011. "Bertrand competition in markets with network effects and switching costs," DICE Discussion Papers 30, Heinrich Heine University Düsseldorf, Düsseldorf Institute for Competition Economics (DICE).
- Guillaume R. Fréchette & Sevgi Yuksel, 2017. "Infinitely repeated games in the laboratory: four perspectives on discounting and random termination," Experimental Economics, Springer;Economic Science Association, vol. 20(2), pages 279-308, June.
- Gehrig, Thomas & Stenbacka, Rune, 2007. "Information sharing and lending market competition with switching costs and poaching," European Economic Review, Elsevier, vol. 51(1), pages 77-99, January.
- Crawford, Vincent, 1998. "A Survey of Experiments on Communication via Cheap Talk," Journal of Economic Theory, Elsevier, vol. 78(2), pages 286-298, February.
- Davies, Stephen & Olczak, Matthew & Coles, Heather, 2011. "Tacit collusion, firm asymmetries and numbers: Evidence from EC merger cases," International Journal of Industrial Organization, Elsevier, vol. 29(2), pages 221-231, March.
- Fisher, Eric ON. & Wilson, Charles A., 1995. "Price competition between two international firms facing tariffs," International Journal of Industrial Organization, Elsevier, vol. 13(1), pages 67-87, March.
- Bochet, Olivier & Putterman, Louis, 2009. "Not just babble: Opening the black box of communication in a voluntary contribution experiment," European Economic Review, Elsevier, vol. 53(3), pages 309-326, April.
- Gehrig, Thomas & Shy, Oz & Stenbacka, Rune, 2011. "History-based price discrimination and entry in markets with switching costs: A welfare analysis," European Economic Review, Elsevier, vol. 55(5), pages 732-739, June.
- Joseph Farrell & Carl Shapiro, 1988.
"Dynamic Competition with Switching Costs,"
RAND Journal of Economics, The RAND Corporation, vol. 19(1), pages 123-137, Spring.
- Farrell, Joseph & Shapiro, Carl, 1988. "Dynamic Competition with Switching Costs," Department of Economics, Working Paper Series qt1h02g9q4, Department of Economics, Institute for Business and Economic Research, UC Berkeley.
- Joseph Farrell and Carl Shapiro., 1988. "Dynamic Competition with Switching Costs," Economics Working Papers 8865, University of California at Berkeley.
- Farrell, Joseph & Klemperer, Paul, 2007.
"Coordination and Lock-In: Competition with Switching Costs and Network Effects,"
Handbook of Industrial Organization, in: Mark Armstrong & Robert Porter (ed.), Handbook of Industrial Organization, edition 1, volume 3, chapter 31, pages 1967-2072,
Elsevier.
- Klemperer, Paul & Farrell, Joseph, 2006. "Coordination and Lock-In: Competition with Switching Costs and Network Effects," CEPR Discussion Papers 5798, C.E.P.R. Discussion Papers.
- Joseph Farrell & Paul Klemperer, 2006. "Co-ordination and Lock-in: Competition with Switching Costs and Network Effects," Economics Papers 2006-W07, Economics Group, Nuffield College, University of Oxford.
- Farrell, Joseph & Klemperer, Paul, 2006. "Coordination and Lock-In: Competition with Switching Costs and Network Effects," Competition Policy Center, Working Paper Series qt9n26k7v1, Competition Policy Center, Institute for Business and Economic Research, UC Berkeley.
- Moellers, Claudia & Normann, Hans-Theo & Snyder, Christopher M., 2017.
"Communication in vertical markets: Experimental evidence,"
International Journal of Industrial Organization, Elsevier, vol. 50(C), pages 214-258.
- Claudia Möllers & Hans-Theo Normann & Christopher M. Snyder, 2016. "Communication in Vertical Markets: Experimental Evidence," NBER Working Papers 22219, National Bureau of Economic Research, Inc.
- Möllers, Claudia & Normann, Hans-Theo & Snyder, Christopher M., 2016. "Communication in vertical markets: Experimental evidence," DICE Discussion Papers 226, Heinrich Heine University Düsseldorf, Düsseldorf Institute for Competition Economics (DICE).
- Urs Fischbacher, 2007. "z-Tree: Zurich toolbox for ready-made economic experiments," Experimental Economics, Springer;Economic Science Association, vol. 10(2), pages 171-178, June.
- Pedro Dal Bó, 2005.
"Cooperation under the Shadow of the Future: Experimental Evidence from Infinitely Repeated Games,"
American Economic Review, American Economic Association, vol. 95(5), pages 1591-1604, December.
- Pedro Dal BÛ, 2002. "Cooperation Under the Shadow of the Future: Experimental Evidence from Infinitely Repeated Games," Working Papers 2002-20, Brown University, Department of Economics.
- Botelho, Anabela & Harrison, Glenn W. & Pinto, Lígia M. Costa & Rutström, Elisabet E., 2009.
"Testing static game theory with dynamic experiments: A case study of public goods,"
Games and Economic Behavior, Elsevier, vol. 67(1), pages 253-265.3, September.
- Anabela Botelho & Glenn W. Harrison & Lígia Costa Pinto & Elisabet E. Rutstrom, 2005. "Testing static game theory with dynamic experiments: a case study of public goods," NIMA Working Papers 29, Núcleo de Investigação em Microeconomia Aplicada (NIMA), Universidade do Minho.
- Paul Klemperer, 1987. "Markets with Consumer Switching Costs," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 102(2), pages 375-394.
- Gomez-Martinez, Francisco & Onderstal, Sander & Sonnemans, Joep, 2016.
"Firm-specific information and explicit collusion in experimental oligopolies,"
European Economic Review, Elsevier, vol. 82(C), pages 132-141.
- Francisco Gomez-Martin & Sander Onderstal & Joep Sonnemans, 2015. "Firm-Specific Information and Explicit Collusion in Experimental Oligopolies," Tinbergen Institute Discussion Papers 15-054/I, Tinbergen Institute.
- Fonseca, Miguel A. & Normann, Hans-Theo, 2012.
"Explicit vs. tacit collusion—The impact of communication in oligopoly experiments,"
European Economic Review, Elsevier, vol. 56(8), pages 1759-1772.
- Fonseca, Miguel A. & Normann, Hans-Theo, 2012. "Explicit vs. tacit collusion: The impact of communication in oligopoly experiments," DICE Discussion Papers 65, Heinrich Heine University Düsseldorf, Düsseldorf Institute for Competition Economics (DICE).
- Shapiro, Carl, 1989. "Theories of oligopoly behavior," Handbook of Industrial Organization, in: R. Schmalensee & R. Willig (ed.), Handbook of Industrial Organization, edition 1, volume 1, chapter 6, pages 329-414, Elsevier.
- Ivaldi, Marc & Jullien, Bruno & Rey, Patrick & Seabright, Paul & Tirole, Jean, 2003. "The Economics of Tacit Collusion," IDEI Working Papers 186, Institut d'Économie Industrielle (IDEI), Toulouse.
- Beggs, Alan W & Klemperer, Paul, 1992.
"Multi-period Competition with Switching Costs,"
Econometrica, Econometric Society, vol. 60(3), pages 651-666, May.
- Beggs, Alan & Klemperer, Paul, 1990. "Multi-Period Competition with Switching Costs," CEPR Discussion Papers 436, C.E.P.R. Discussion Papers.
- Shilony, Yuval, 1977. "Mixed pricing in oligopoly," Journal of Economic Theory, Elsevier, vol. 14(2), pages 373-388, April.
- Posner, Richard A, 1970. "A Statistical Study of Antitrust Enforcement," Journal of Law and Economics, University of Chicago Press, vol. 13(2), pages 365-419, October.
- Paul Klemperer, 1987. "The Competitiveness of Markets with Switching Costs," RAND Journal of Economics, The RAND Corporation, vol. 18(1), pages 138-150, Spring.
- Klemperer, Paul D, 1987. "Entry Deterrence in Markets with Consumer Switching Costs," Economic Journal, Royal Economic Society, vol. 97(388a), pages 99-117, Supplemen.
Most related items
These are the items that most often cite the same works as this one and are cited by the same works as this one.- Fourberg, Niklas, 2018. "Let's lock them in: Collusion under consumer switching costs," DICE Discussion Papers 296, Heinrich Heine University Düsseldorf, Düsseldorf Institute for Competition Economics (DICE).
- Fourberg, Niklas, 2017. "Let's lock them in: Collusion under Consumer Switching Costs," VfS Annual Conference 2017 (Vienna): Alternative Structures for Money and Banking 168097, Verein für Socialpolitik / German Economic Association.
- Chod, Jiri & Lyandres, Evgeny, 2023. "Product market competition with crypto tokens and smart contracts," Journal of Financial Economics, Elsevier, vol. 149(1), pages 73-91.
- Fonseca, Miguel A. & Normann, Hans-Theo, 2012.
"Explicit vs. tacit collusion—The impact of communication in oligopoly experiments,"
European Economic Review, Elsevier, vol. 56(8), pages 1759-1772.
- Fonseca, Miguel A. & Normann, Hans-Theo, 2012. "Explicit vs. tacit collusion: The impact of communication in oligopoly experiments," DICE Discussion Papers 65, Heinrich Heine University Düsseldorf, Düsseldorf Institute for Competition Economics (DICE).
- Suleymanova Irina & Wey Christian, 2011.
"Bertrand Competition in Markets with Network Effects and Switching Costs,"
The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 11(1), pages 1-58, September.
- Irina Suleymanova & Christian Wey, 2008. "Bertrand Competition in Markets with Network Effects and Switching Costs," Discussion Papers of DIW Berlin 796, DIW Berlin, German Institute for Economic Research.
- Suleymanova, Irina & Wey, Christian, 2011. "Bertrand competition in markets with network effects and switching costs," DICE Discussion Papers 30, Heinrich Heine University Düsseldorf, Düsseldorf Institute for Competition Economics (DICE).
- Sebátian Infante & Nicolás Figueroa & Ronald Fischer, 2007. "Competition with asymmetric switching costs," Documentos de Trabajo 241, Centro de Economía Aplicada, Universidad de Chile.
- Langus, Gregor & Lipatov, Vilen, 2008. "On Quantity Competition With Switching Costs," MPRA Paper 15457, University Library of Munich, Germany.
- Mark J. Tremblay, 2019. "Platform Competition and Endogenous Switching Costs," Journal of Industry, Competition and Trade, Springer, vol. 19(4), pages 537-559, December.
- Rizkiah, Siti K. & Disli, Mustafa & Salim, Kinan & Razak, Lutfi A., 2021. "Switching costs and bank competition: Evidence from dual banking economies," Journal of International Financial Markets, Institutions and Money, Elsevier, vol. 75(C).
- Miguel A. Fonseca & Yan Li & Hans‐Theo Normann, 2018.
"Why factors facilitating collusion may not predict cartel occurrence — experimental evidence,"
Southern Economic Journal, John Wiley & Sons, vol. 85(1), pages 255-275, July.
- Fonseca, Miguel A. & Li, Yan & Normann, Hans-Theo, 2018. "Why factors facilitating collusion may not predict cartel occurrence: Experimental evidence," DICE Discussion Papers 289, Heinrich Heine University Düsseldorf, Düsseldorf Institute for Competition Economics (DICE).
- Ciotti, Fabrizio & Hornuf, Lars & Stenzhorn, Eliza, 2021.
"Lock-In Effects in Online Labor Markets,"
LIDAM Discussion Papers CORE
2021014, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
- Fabrizio Ciotti & Lars Hornuf & Eliza Stenzhorn, 2021. "Lock-In Effects in Online Labor Markets," CESifo Working Paper Series 9379, CESifo.
- Toker Doganoglu, 2010. "Switching costs, experience goods and dynamic price competition," Quantitative Marketing and Economics (QME), Springer, vol. 8(2), pages 167-205, June.
- Darai, D. & Roux, C. & Schneider, F., 2019.
"Mergers, Mavericks, and Tacit Collusion,"
Cambridge Working Papers in Economics
1984, Faculty of Economics, University of Cambridge.
- Donja Darai & Catherine Roux & Frédéric Schneider, 2019. "Mergers, mavericks, and tacit collusion," Working Papers 201902, Cambridge Judge Business School, University of Cambridge.
- Luis Cabral, 2016. "Dynamic Pricing in Customer Markets with Switching Costs," Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 20, pages 43-62, April.
- Jason Allen & Shaoteng Li, 2020. "Dynamic Competition in Negotiated Price Markets," Staff Working Papers 20-22, Bank of Canada.
- Fischer, Christian & Normann, Hans-Theo, 2019.
"Collusion and bargaining in asymmetric Cournot duopoly—An experiment,"
European Economic Review, Elsevier, vol. 111(C), pages 360-379.
- Fischer, Christian & Normann, Hans-Theo, 2018. "Collusion and bargaining in asymmetric Cournot duopoly: An experiment," DICE Discussion Papers 283, Heinrich Heine University Düsseldorf, Düsseldorf Institute for Competition Economics (DICE), revised 2018.
- Sherzod B. Akhundjanov & Ben O. Smith & Max St. Brown, 2023. "Path Dependence as a Path to Consumer Surplus and Loyalty," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 63(1), pages 1-20, August.
- Ruiz-Aliseda, Francisco, 2016. "When do switching costs make markets more or less competitive?," International Journal of Industrial Organization, Elsevier, vol. 47(C), pages 121-151.
- Miguel Villas-Boas, J., 2015. "A short survey on switching costs and dynamic competition," International Journal of Research in Marketing, Elsevier, vol. 32(2), pages 219-222.
- Thomas, Catherine & Chen, Zhuoqiong (Charlie) & Stanton, Christopher T., 2020. "Information Spillovers in Experience Goods Competition," CEPR Discussion Papers 15255, C.E.P.R. Discussion Papers.
More about this item
Keywords
Switching costs; Cartels; Collusion; Experiments;All these keywords.
JEL classification:
- C7 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory
- C9 - Mathematical and Quantitative Methods - - Design of Experiments
- L13 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Oligopoly and Other Imperfect Markets
- L41 - Industrial Organization - - Antitrust Issues and Policies - - - Monopolization; Horizontal Anticompetitive Practices
Statistics
Access and download statisticsCorrections
All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:indorg:v:91:y:2023:i:c:s0167718723000875. See general information about how to correct material in RePEc.
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/inca/505551 .
Please note that corrections may take a couple of weeks to filter through the various RePEc services.