de Meza, David and Reyniers, Diane J. (2012) Every shroud has a silver lining: The visible benefits of hidden surcharges. Economics letters, 116 (2). pp. 151-153. ISSN 0165-1765
Abstract
Opportunities for shrouded pricing drive down upfront price as firms compete to capture new customers. Unless the surcharge is sufficiently high, consumers are worse off if the practice is banned, assuming Cournot-Nash equilibrium and isoelastic demand.
| Item Type: | Article |
|---|---|
| Official URL: | http://www.journals.elsevier.com/economics-letters... |
| Additional Information: | © 2012 Elsevier B.V. |
| Uncontrolled Keywords: | consumer protection, shrouded prices, waterbedding |
| Library of Congress subject classification: | H Social Sciences > H Social Sciences (General) H Social Sciences > HB Economic Theory |
| Sets: | Departments > Management |
| Rights: | http://www.lse.ac.uk/library/rights/LSERO.htm |
| URL: | http://eprints.lse.ac.uk/43036/ |
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