This paper uses scanner data from a large euro area retailer. We extend Deaton and Muellbauer's Almost Ideal Demand System to estimate the price elasticity and curvature of demand for a wide range of products. Our results support the introduction of a kinked (concave) demand curve in general...

This article examines the joint impact of three types of operational flexibility in a theoretical model of a two-product firm that makes capacity, production and pricing decisions at three points in time with an underlying continuous-time information evolution. Mix flexibility is measured by the...