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This paper investigates a model of endogenous product differentiation in subprime lending markets. In the subprime literature the discussion surrounds two competing hypotheses about pricing behavior. The opportunity pricing hypothesis suggests that lenders are rent seeking in their pricing...
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Price cap regulation was ... …
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This paper investigates the conditions that lead to the so-called 'waterbed' effect in the context of price regulation … price cap. Some implications for market definition, welfare analysis of regulation, non-price competition, collusion and two …
Persistent link: https://www.econbiz.de/10012731732
This paper studies the optimal price structure in the postal sector when worksharing is available (e.g., for collection … price cap imposed on a weighted average of the prices of all products. The appropriate weights are proportional to the …
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, transmission capacity under rate-of-return regulation may be suppressed relative to that which occurs under a more flexible price …
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. Governments in both countries may limit prices directly via price caps or restrict third-party payer reimbursement for the drug … price cap and a reimbursement limit under certain conditions. In the destination country, parallel trade has no effect on … the level of regulation under a price cap, and it intensies regulation under a reimbursement limit.Parallel trade may …
Persistent link: https://www.econbiz.de/10012889817
This paper examines price level regulation in two-sided markets with linear demands. We find that (i) price level … regulation increases the price allocation asymmetry when reservation prices differ between the two sides of the market; and (ii …) changes in the level of the price cap are divided equally between the two sides of the market whether demands are symmetric or …
Persistent link: https://www.econbiz.de/10012866884