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Oligopolistic Competition with Scaling of Characteristics

In: Price and Nonprice Rivalry in Oligopoly

Author

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  • Robert E. Kuenne

    (Princeton University)

Abstract

In Chapters 8 and 9 we have assumed that quality characteristics were cardinally measurable and, therefore, capable of immediate incorporation as variables in analytical and simulation analysis. Now we must deal with the difficult task of “scalin” characteristics which are qualities that are not at the present time directly “measurable” in the meaning of Chapter 1 or with attributes which can be measured only in a nominal 0–1 manner. The procedure in this chapter moves from scaling at the product or brand level to study competition without tacit collusion to price-nonprice competition in a collusive context, and from general functional forms in closed analysis to specific forms in simulation runs.

Suggested Citation

  • Robert E. Kuenne, 1998. "Oligopolistic Competition with Scaling of Characteristics," Palgrave Macmillan Books, in: Price and Nonprice Rivalry in Oligopoly, chapter 10, pages 266-297, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-0-230-50371-7_10
    DOI: 10.1007/978-0-230-50371-7_10
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