Arbeitspapier
Price Competition in an Inflationary Environment
We study how inflation and deflation affect firms' ability to cooperate in an experimental Bertrand duopoly with differentiated products. We find that there is significantly less cooperation in the treatments with inflation and deflation compared to the no-inflation treatments. The difficulties to cooperate affect prices and welfare: Depending on the market structure, inflation and deflation lead to significantly lower (real) prices and higher welfare.
- Language
-
Englisch
- Bibliographic citation
-
Series: Discussion Paper Series ; No. 547
- Classification
-
Wirtschaft
- Subject
-
Bertrand Duopoly
Inflation
Experiment
Money Illusion
- Event
-
Geistige Schöpfung
- (who)
-
Duersch, Peter
Eife, Thomas
- Event
-
Veröffentlichung
- (who)
-
University of Heidelberg, Department of Economics
- (where)
-
Heidelberg
- (when)
-
2013
- DOI
-
doi:10.11588/heidok.00015325
- Handle
- URN
-
urn:nbn:de:bsz:16-heidok-153258
- Last update
-
10.03.2025, 11:46 AM CET
Data provider
This object is provided by:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
Object type
- Arbeitspapier
Associated
- Duersch, Peter
- Eife, Thomas
- University of Heidelberg, Department of Economics
Time of origin
- 2013
Other Objects (12)
Price Competition in an Inflationary Environment
Price Competition in an Inflationary Environment
Bertrand Price Competition in a Social Environment
Search and Price Dispersion in an Inflationary Economy
The price-wage inflationary spiral: The mixed economic case
Price Competition and Product Differentiation when Consumers Care for the Environment
Proper valuation of perpetuities in an inflationary environment without real growth
Low-Wage Import Competition, Inflationary Pressure, and Industry Dynamics in Europe
A broader perspective on the inflationary effects of energy price shocks
Price distributions and competition
Price Competition on Graphs
Competition with List Prices
Price Competition in an Inflationary Environment
Price Competition in an Inflationary Environment
Bertrand Price Competition in a Social Environment
Search and Price Dispersion in an Inflationary Economy
The price-wage inflationary spiral: The mixed economic case
Price Competition and Product Differentiation when Consumers Care for the Environment
Proper valuation of perpetuities in an inflationary environment without real growth
Low-Wage Import Competition, Inflationary Pressure, and Industry Dynamics in Europe
A broader perspective on the inflationary effects of energy price shocks
Price distributions and competition
Price Competition on Graphs
Competition with List Prices
Price Competition in an Inflationary Environment
Price Competition in an Inflationary Environment
Bertrand Price Competition in a Social Environment
Search and Price Dispersion in an Inflationary Economy
The price-wage inflationary spiral: The mixed economic case
Price Competition and Product Differentiation when Consumers Care for the Environment
Proper valuation of perpetuities in an inflationary environment without real growth
Low-Wage Import Competition, Inflationary Pressure, and Industry Dynamics in Europe
A broader perspective on the inflationary effects of energy price shocks
Price distributions and competition
Price Competition on Graphs