Mutual Recognition of National Minimum Quality Standards May Support International Convergence


Lutz, Stefan


[img]
Preview
PDF
ZEW73.pdf - Published

Download (276kB)

URL: http://ub-madoc.bib.uni-mannheim.de/183
URN: urn:nbn:de:bsz:180-madoc-1833
Document Type: Working paper
Year of publication: 2003
Publication language: English
Institution: Sonstige Einrichtungen > ZEW - Leibniz-Zentrum für Europäische Wirtschaftsforschung
MADOC publication series: Veröffentlichungen des ZEW (Leibniz-Zentrum für Europäische Wirtschaftsforschung) > ZEW Discussion Papers
Subject: 330 Economics
Classification: JEL: L13 F13 F12 ,
Subject headings (SWD): Qualitätsnorm
Abstract: In a model of vertical product differentiation, duopolistic firms face qualitydependent costs and compete in quality and price in two segmented markets. Minimum quality standards, set according to the principle of Mutual Recognition, can be used to increase welfare. The results of the one-shot game suggest that standards achieve initial convergence in terms of qualities produced and national welfares. Therefore, the static game is repeated in multiple periods and firms' qualities in the previous period determine their costs. In an N-period game, quality standards will in fact lead to convergence in terms of qualities and national welfares.
Additional information:

Das Dokument wird vom Publikationsserver der Universitätsbibliothek Mannheim bereitgestellt.




+ Citation Example and Export

Lutz, Stefan (2003) Mutual Recognition of National Minimum Quality Standards May Support International Convergence. Open Access [Working paper]
[img]
Preview


+ Search Authors in

BASE: Lutz, Stefan

Google Scholar: Lutz, Stefan

+ Download Statistics

Downloads per month over past year

View more statistics



You have found an error? Please let us know about your desired correction here: E-Mail


Actions (login required)

Show item Show item