The use of passenger cars in the U.S. is widely recognized as a primary source of greenhouse gas emissions. Among other concerns related to transportation energy usage, these emissions have motivated policy makers to reform regulatory policies that impact the design and pricing behavior of automotive firms. However many prominent analyses supporting these reforms neglect aspects of imperfect competition that many economists have come to recognize in the automotive industry, particularly Bertrand competition. Understanding the impacts of alternative regulatory policies accounting for imperfectly competitive behavior may improve policy makers' decisions regarding regulatory policy, as well as firms' abilities to profitably respond to the policies chosen. Examining and exploiting this potential first requires further development of the theory of Bertrand competition.In this experiment gas prices are held constant at 1999 levels and new 2006 vehicle prices in equilibrium computed. ... Price Change (2006 USD) (2006 USD) (2006 USD) (%) Hybrid Ford Escape 29, 140 28, 734 -406 -1.39 Honda Civic 22, 400anbsp;...
|Title||:||A Fixed-point Approach to Equilibrium Pricing in Differentiated Product Markets|
|Author||:||William Ross Morrow|
|Publisher||:||ProQuest - 2008|