Torre, Saracho de la; Isabel, Ana; Izaga, Casado; … - Departamento de Economía Aplicada III (Econometría y … - 1999
This paper analyzes the strategic choice of variety by a monopolist seller of a durable good as a means to mitigate his commitment problem. The monopolist chooses his product variety with a goal of ensuring that a strong reduction in future prices will not be profitable because it allows the...