Authors

• Francisco Galera (fgalera@unav.es)
  School of Economics and Business Administration, University of Navarra
• Jesús M. Zaratiegui (jmzarati@unav.es)
  School of Economics and Business Administration, University of Navarra

Abstract
In this note I provide examples to show that, contrary to what is widely believed, when changing from an uniform price to a third-degree price discrimination situation, an improvement in welfare is possible with output reduction, if there is more than one firm.

Classification JEL:D43; D60; L13

Keywords:price discrimination; imperfect competition; welfare

Number of Pages:10

Creation Date:2003-05-01

Number:null/03