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Search Costs and Price Dispersion in a Localized, Homogeneous Product Market: Some Empirical Evidence (1997)

Adams, A. Frank

Springer

Review of industrial organization 12 (1997), S. 801-808

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ISSN: 1573-7160

Keywords: Information costs ; price dispersion ; search costs

Source: Springer Online Journal Archives 1860-2000

Topics: Economics

Notes: Abstract Convenience stores provide an opportunity to compare the price dispersion that occurs for gasoline, which is characterized by relatively low search and information costs to consumers, with that of in-store items, which are characterized by relatively high search and information costs to consumers. The results obtained from this study support the hypothesis that differences in search and information costs for consumers play a significant role in explaining the observed price dispersion that occurs for homogeneous items sold at convenience stores.

Type of Medium: Electronic Resource

URL: http://dx.doi.org/10.1023/A:1007779422525

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