Abstract
Price discrimination occurs when the prices of similar products sold by the same firm show variation that cannot be attributed to cost variation. Recent empirical work has identified the presence of both direct and indirect price discrimination, after cost-based explanations have been accounted for. Furthermore, there is increasing evidence on the sources of price discrimination. The extent of price discrimination has often been found to increase as competition intensifies, in contrast to conventional wisdom but consistent with new theoretical insights. Finally, various empirical studies have considered the effects of price discrimination on profits, consumer welfare and efficiency.
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Verboven, F. (2018). Price Discrimination (Empirical Studies). In: The New Palgrave Dictionary of Economics. Palgrave Macmillan, London. https://doi.org/10.1057/978-1-349-95189-5_2256
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DOI: https://doi.org/10.1057/978-1-349-95189-5_2256
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