Shelegia, Sandro - In: International Journal of Industrial Organization 30 (2012) 2, pp. 231-242
one. We find that information frictions lead to price dispersion. When the two goods are complements, their prices will … empirical evidence which suggests that simultaneous price discounts of complements are infrequent. If the goods are substitutes … complements, retailers earn higher profits than in the one-good model through taxing captive consumers with a high overall price …