ANDERSON, SIMON P.; PALMA, ANDRÉ - In: Journal of Industrial Economics 54 (2006) 1, pp. 95-124
We revisit the fundamental issue of market provision of variety associated with Chamberlin, Spence, and Dixit-Stiglitz when firms sell multiple products. Both products and firms are (horizontally) differentiated. We propose a general nested demand framework where consumers first decide upon a...