The Demand for Commodity Packages: The Case of Telephone Custom Calling Features

Donald J. Kridel · Lester D. Taylor

18 citations0/0 files storedThe Review of Economics and Statistics

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Consumer Market Behavior and Pricing ICT Impact and Policies Economic and Environmental Valuation

Abstract

The demand for two custom calling services is investigated. The services may be bought individually or in a discounted package. A micro-theory based on discrete choice model is formulated that explicitly accounts for these purchase options. The model is estimated assuming both dependence and independence of the unobservable choice-influencing variables. The estimated parameters are used to simulate the revenue impact of price and discount changes. Copyright 1993 by MIT Press.

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1989A Method of Simulated Moments for Estimation of Discrete Response Models Without Numerical Integration 1989Multiproduct Monopoly, Commodity Bundling, and Correlation of Values

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2005DOES ECONOMICS PROVIDE A RELIABLE GUIDE TO REGULATING COMMODITY BUNDLING BY FIRMS? A SURVEY OF THE ECONOMIC LITERATURE

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