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来源类型Working Paper
规范类型报告
DOI10.3386/w30360
来源IDWorking Paper 30360
Does the Invisible Hand Efficiently Guide Entry and Exit? Evidence from a Vegetable Market Experiment in India
Abhijit Banerjee; Greg Fischer; Dean Karlan; Matt Lowe; Benjamin N. Roth
发表日期2022-08-22
出版年2022
语种英语
摘要What accounts for the ubiquity of small vendors operating side-by-side in the urban centers of developing countries? Why don’t competitive forces drive some vendors out of the market? We ran an experiment in Kolkata vegetable markets in which we induced (via subsidizing) some vendors to sell additional produce. The vendors earned higher profits, even when excluding the value of the subsidy. Nevertheless, after the subsidies ended vendors largely stopped selling the additional produce. Our results are consistent with collusion and inertial business practices suppressing competition and efficient market exit.
主题Microeconomics ; Households and Firms
URLhttps://www.nber.org/papers/w30360
来源智库National Bureau of Economic Research (United States)
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资源类型智库出版物
条目标识符http://119.78.100.153/handle/2XGU8XDN/588033
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Abhijit Banerjee,Greg Fischer,Dean Karlan,et al. Does the Invisible Hand Efficiently Guide Entry and Exit? Evidence from a Vegetable Market Experiment in India. 2022.
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