Competition and price discrimination in the market for mailing lists
By: Ron Borzekowski, Raphael Thomadsen, and Charles Taragin.
Contributors: Thomadsen, Raphael.; Taragin, Charles.
Series: Finance and economics discussion series ;; 2005-56; Finance and economics discussion series (Online) ;; 2005-56.
Publisher: Federal Reserve Board
Published: 2005
Place of publication: Washington, D.C
Language: eng
Format: Electronic resource
Description: "This paper examines the relationship between competition and price discrimination in the market for mailing lists.  More specifically, we examine whether sellers are more likely to segregate consumers by offering a menu of quality choices (second-degree price discrimination) and/or offering different prices to readily identifiable groups of consumers (third-degree price discrimination) in more competitive markets.  We also examine how the fineness with which consumers are divided corresponds to the level of competition in the market.<br> The dataset includes information about all consumer response lists derived from mail order buyers (i.e.  lists derived from catalogs) available for rental in 1997 and 2002.  Using industry classifications, we create measures of competition for each list.  We then use these measures to predict whether given lists utilize discriminatory pricing strategies.<br> Our results indicate that lists facing more competition are more likely to implement second-degree and third-degree price discrimination, and when implementing second-degree price discrimination, to offer menus with more choices"--Federal Reserve Board web site.
Notes: Also available in print.
Includes bibliographical references.
Title from PDF file as viewed on 12/8/2005.
System requirements: Adobe Acrobat Reader.
Mode of access: World Wide Web.