Events at CERGE-EI
Thursday, 3 December, 2015 | 16:30 | Micro Theory Research Seminar
Stefan Behringer, Ph.D. (U. of Duisburg-Essen) “Price Wars in Two-Sided Markets: The Case of the UK Quality Newspaper Industry”
University of Duisburg-Essen, Germany
Authors: Stefan Behringer and Lapo Filistrucchi
Abstract: This paper investigates the price war in the UK quality newspaper industry in the 1990s. We show that the empirical evidence is in accordance with a substantial change in the optimal finance mix of newspapers as advertising becomes the dominant source of newspaper revenue. The evidence brought forward at the time is not sufficient to establish a case of predatory pricing as it has neglected the critical two-sidedness of firms and necessitates further study.
Full Text: WILL BE AVAILABLE LATER
