CMSSE Research seminar. Speaker: Ph.D. Ph.Uschev

On March 27, 2013 at 15:00 CMSSE held a research seminar. A report on «Do we go shopping downtown or to the mall? Well, why not to both?» by CMSSE Senior Research Fellow PhD Philip Uschev.

Ph.Uschev

On December 27, 2013, 15:00-17:00.
Research seminar.
CMSSE Senior Research Fellow Philip Uschev. "Do we go shopping downtown or to the mall? Well, why not to both?"

We combine spatial competition with monopolistic competition to study market interactions between retailers and a shopping mall located at the endpoints of a linear city. Consumers are free to shop from either one or from both, and can buy a variable amount of each variety supplied in the shopping centers. The market solution is the outcome of the interplay between two opposing effects. The first one is the market expansion effect generated by the overlapping of market areas, whereas the second is the standard competition effect. Firms' profits increase or decrease with the entry of competitors according to the relative size of the shopping centers. Under free entry, the size of the central business district where retailers locate cannot become arbitrarily small, but it may suddenly vanish when the shopping mall is sufficiently large. Last, we show how the market outcome is determined when the shopping mall is run by a developer who leases slots to independent store-owners.

Address of the seminar: 47, pr. Rimskogo-Korsakova, St. Petersburg (building of the bank "Saint Petersburg", conference-hall).

Working language - English.