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Input price discrimination in endogenous competition mode: comment

Author

Listed:
  • Qing Hu

    (Faculty of Economics, Kushiro Public University of Economics
    Graduate School of Economics, Kobe University)

  • Shuxiao Chen

    (School of Marxism, Xi’an Jiaotong University)

Abstract

We correct the calculation in Choi and Lim (The Japanese Economic Review 74(2):301–330, 2023) and show that under input price discrimination, the asymmetric outcome that the inefficient retailer chooses Cournot competition and the efficient retailer chooses Bertrand competition never happens. Instead, Cournot competition is the equilibrium.

Suggested Citation

  • Qing Hu & Shuxiao Chen, 2024. "Input price discrimination in endogenous competition mode: comment," The Japanese Economic Review, Springer, vol. 75(3), pages 473-478, July.
    • Handle: RePEc:spr:jecrev:v:75:y:2024:i:3:d:10.1007_s42973-023-00134-5
    DOI: 10.1007/s42973-023-00134-5
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