ADVERTISING TRADED GOODS
作者： Henry W. Kinnucan
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摘要: Nerlove and Waugh's theory of cooperative (generic) advertising is extended to the case traded goods. Results suggest that trade reduces incentive promote by enlarging effective supply or demand elasticity facing industry. This especially true in net exporter situation where enlarged (relative autarky case) limits ability shift costs onto consumers. Simulations model using data parameter values for California egg industry ignoring prejudices benefit-cost ratios favor promotion program. The upward bias, moreover, significant even when share modest.
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