TY  - BOOK
AU  - Lou,Weifang
AU  - Prentice,David
AU  - Yin,Xiangkang
TI  - The effects of product ageing on demand: the case of digital cameras 
T2  - Discussion papers
SN  - 9781921377518
U1  - 681.418 21
PY  - 2008///
CY  - Bundoora, Vic.
PB  - La Trobe University. School of Business
KW  - CAMARAS DIGITALES
KW  - ELASTICIDAD DE LA DEMANDA
KW  - PREFERENCIAS DEL CONSUMIDOR
KW  - ESTADOS UNIDOS
N1  - Incluye referencias bibliográficas
N2  - The static differentiated product demand model when applied to products with rapid product turnover and declining prices, yields implausible results. One response is to explicitly model the inter-temporal choices of consumers but computational demands require restrictive assumptions on consumer heterogeneity and limits on the characteristics included in the model. We propose, instead, to supplement the static model with a control for the age that each product has been in the market. This approach is applied to the US digital camera market and we find we obtain more plausible estimates. Our results are consistent with inter-temporal price discrimination by firms. Furthermore, our results suggest that ignoring the effects of product ageing may result in substantially overestimated price elasticities and technological progress and underestimated price-cost markups
UR  - www.latrobe.edu.au/__data/assets/pdf_file/0016/130912/2008.06.pdf
ER  -