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Buyer confusion and market prices

✍ Scribed by Kenan Kalaycı; Jan Potters


Book ID
116557138
Publisher
Elsevier Science
Year
2011
Tongue
English
Weight
527 KB
Volume
29
Category
Article
ISSN
0167-7187

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A theoretical model of the wool market that distinguishes between large and small buyers is developed. The model forecasts that "large" buyers with a cost advantage will increase grower prices providing there is competition from a periphery of small, relatively high cost buyers. Econometric estimate