*Institut d‘économie appliquée, École des Hautes Études Commerciales, 5255, avenue Decelles, Montréal, H3T 1V6. Financial support from the Fondation du Prêt d'Honneur of the Société St-Jean-Baptiste and the Fonds FCAR is gratefully acknowledged. The authors wish to thank Pierre Lasserre for his helpful comments and two anonymous referees for helping to improve the paper substantially.
SHOPPING HOURS AND PRICE LEVELS IN THE RETAILING INDUSTRY: A THEORETICAL AND EMPIRICAL ANALYSIS
Article first published online: 28 SEP 2007
Volume 33, Issue 3, pages 516–524, July 1995
How to Cite
TANGUAY, G. A., VALLGE, L. and LANOIE, P. (1995), SHOPPING HOURS AND PRICE LEVELS IN THE RETAILING INDUSTRY: A THEORETICAL AND EMPIRICAL ANALYSIS. Economic Inquiry, 33: 516–524. doi: 10.1111/j.1465-7295.1995.tb01878.x
- Issue published online: 28 SEP 2007
- Article first published online: 28 SEP 2007
We explore the effect of extended shopping hours on the demand faced by small and large stores and on their prices. Our theoretical model predicts that prices at large stores will increase after opening hours are deregulated. We then test this prediction using a set of Quebec data collected before and after the deregulation of opening hours in July 1990. The results support our view that prices have increased at large stores since deregulation and that consumers pay for greater shopping flexibility.