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Does Advertising Signal Product Quality? Evidence from the Market for Compact Disc Players

Horstmann, Ignatius J.; MacDonald, Glenn - 2000

This paper explores panel data on advertising and product pricing for firms in the compact disc player market over the period 1983-92. The data reveal that, for the typical CD player, advertising and price move together, with both rising initially and remaining above introductory levels for...

Persistent link: https://www.econbiz.de/10014047262