The network origins of price heterogeneity

A new paper was published by Tamás Sebestyén and Balázs Szabó in Netnomics, a journal published by Kluwer Academic Publisher.

The network origins of price heterogeneity

 The article examines exogenous supplier-consumer networks in monopolistic competition and the relationship between the structure of these networks and price dispersion. The results show that a slight deviation from the complete network results in heterogeneous prices, although this heterogeneity becomes economically significant only under sparse or small networks.