Secondary markets with changing preferences

• 成果类型: Article
• 署名作者: Johnson, Justin P.
• 署名单位: Cornell University
• 刊物名称: RAND JOURNAL OF ECONOMICS
• ISSN/ISSBN: 0741-6261
• DOI: 10.1111/j.1756-2171.2011.00139.x
• 发表日期: 2011
• 页码: 555-574
• 关键词: durable-goods; planned obsolescence; price-discrimination; consumption goods; durability; monopoly; QUALITY; ECONOMICS

摘要

If consumer valuations change over time, then secondary-market frictions may raise monopoly profits and cause durability to be distorted away from the cost-minimizing level. A monopolist who favors such frictions overinvests in durability, but planned obsolescence instead may be preferred when market frictions exist but a monopolist wishes they did not. Evidence from the book market is presented.