oligopolistic market where firms compete in price and quality and where consumers are heterogeneous in knowledge: some consumers … types of signalling equilibria are possible. Both are characterised by dispersion and Pareto-inefficiency of the price …/quality offers. But, better price/quality combinations are signalled with lower prices in one type and with higher prices in the …

We consider an oligopolistic market where firms compete in price and quality and where consumers are heterogeneous in …-inefficiency of the price/quality offers. But, better price/quality combinations are signalled with lower prices in one type and with …

We consider an oligopolistic market where firms compete in price and quality and where consumers have heterogeneous … neither. We show that if there are sufficiently many uninformed consumers, then there exists a unique equilibrium where price … is a perfect indicator of quality. This equilibrium is characterized by dispersion and Pareto-inefficiency of the price …

agents find a suitable product; 3) the equilibrium price weakly decreases for competition amongst firms is more intense …

) visiting firms or by consulting a price agency who sells information about which firm charges the lowest price. …

This paper studies competition in small, concentrated and inter- related markets. Our data set consists of price …