CaltechAUTHORS
  A Caltech Library Service

Durable-goods oligopoly with secondary markets: the case of automobiles

Esteban, Susanna and Shum, Matthew (2007) Durable-goods oligopoly with secondary markets: the case of automobiles. RAND Journal of Economics, 38 (2). pp. 332-354. ISSN 0741-6261. https://resolver.caltech.edu/CaltechAUTHORS:ESTrje07

Full text is not posted in this repository. Consult Related URLs below.

Use this Persistent URL to link to this item: https://resolver.caltech.edu/CaltechAUTHORS:ESTrje07

Abstract

We study the effects of durability and secondary markets on equilibrium firm behavior in the car market. We construct a dynamic oligopoly model of a differentiated product market to incorporate the equilibrium production dynamics that arise from the durability of the goods and their active trade in secondary markets. We derive an econometric model and estimate its parameters using data from the automobile industry over a 20-year period. Our estimates are used to provide a measure of the competitive importance of the secondary market.


Item Type:Article
Related URLs:
URLURL TypeDescription
http://dx.doi.org/10.1111/j.1756-2171.2007.tb00071.xDOIArticle
http://www3.interscience.wiley.com/journal/119819182/abstractPublisherArticle
ORCID:
AuthorORCID
Shum, Matthew0000-0002-6262-915X
Additional Information:© RAND 2007. We thank the Editor and two anonymous referees for detailed comments. We thank Steve Berry, Eric Bond, Jean-Pierre Dubé, Alessandro Gavazza, Joe Harrington, Hugo Hopenhayn, Ozgur Kibris, Alessandro Lizzeri, Sumon Majumdar, Ariel Pakes, Mark Roberts, Marc Rysman, Shannon Seitz, Nadia Soboleva, Jim Tybout and participants at many universities and conferences. We thank Jian Hong, Sunghwan Kim, Andy Kotikula and Yi Lee for remarkable research assistance.
Subject Keywords:STATIONARY EQUILIBRIUM; PLANNED OBSOLESCENCE; ADVERSE SELECTION; MONOPOLY; MODEL; PURCHASES; BEHAVIOR; LEMONS; STOCKS
Issue or Number:2
Record Number:CaltechAUTHORS:ESTrje07
Persistent URL:https://resolver.caltech.edu/CaltechAUTHORS:ESTrje07
Usage Policy:No commercial reproduction, distribution, display or performance rights in this work are provided.
ID Code:12056
Collection:CaltechAUTHORS
Deposited By: Lindsay Cleary
Deposited On:22 Oct 2008 18:23
Last Modified:03 Oct 2019 00:25

Repository Staff Only: item control page