Access the full text.
Sign up today, get DeepDyve free for 14 days.
Loading next page...
/lp/wiley/demand-spillovers-and-market-outcomes-in-the-mutual-fund-industry-45eOYj5P9q
References (40)
-
Christoffersen (2009)
City Size and Fund PerformanceJournal of Financial Economics, 92
-
Huberman Huberman, Jiang Jiang (2006)
Offering vs. Choice by 401(k) Plan Participants: Equity Exposure and Number of FundsJournal of Finance, 61
-
Ippolito Ippolito (1992)
Consumer Reaction to Measures of Poor Quality: Evidence from the Mutual Fund IndustryJournal of Law and Economics, 35
-
Hortaçsu Hortaçsu, Syverson Syverson (2004)
Product Differentiation, Search Costs, and Competition in the Mutual Fund Industry: A Case Study of S&P 500 Index FundsQuarterly Journal of Economics, 119
-
Nanda Nanda, Wang Wang, Zheng Zheng (2004)
Family Values and the Star Phenomenon: Strategies of Mutual Fund FamiliesReview of Financial Studies, 17
-
Gil‐Bazo Gil‐Bazo, Ruiz‐Verdú Ruiz‐Verdú (2009)
The Relation between Price and Performance in the Mutual Fund IndustryJournal of Finance, 64
-
Are Frequent Flyer Programs a Cause of the ?Hub Premium??
Journal of Economics and Management Strategy, 17
-
Employee Benefit Research Institute. (March 2008)
Total Individual Account Retirement Plan Assets, by Demographics, 2004EBRI Notes, 29
-
The ABCs of Mutual Funds: On the Introduction of Multiple Share Classes
Journal of Financial Intermediation, 18
-
Levinsohn (1995)
Automobile Prices in Market EquilibriumEconometrica, 63
-
Borenstein (1989)
Hubs and High Fares: Dominance and Market Power in the U.S. Airline IndustryRAND Journal of Economics, 20
-
Khorana Khorana, Servaes Servaes (1999)
The Determinants of Mutual Funds StartsReview of Financial Studies, 12
-
Knittel Knittel, Stango Stango (2008)
Incompatibility, Product Attributes and Consumer Welfare: Evidence from ATMsB.E. Journal of Economic Analysis and Policy, 8
-
Wahal Wahal, Wang Wang (2011)
Competition among Mutual FundsJournal of Financial Economics, 99
-
Katz Katz, Shapiro Shapiro (1985)
Network Externalities, Competition, and CompatibilityThe American Economic Review, 75
-
Klemperer Klemperer, Padilla Padilla (1997)
Do Firms? Product Lines Include Too Many Varieties?RAND Journal of Economics, 28
-
Economides (1989)
Desirability of Compatibility in the Absence of Network ExternalitiesAmerican Economic Review, 79
-
Bonanno (1987)
Location Choice, Product Proliferation and Entry DeterrenceReview of Economic Studies, 54
-
Waldfogel (2010)
Product Quality and Market SizeJournal of Industrial Economics, 58
-
Gowrisankaran Gowrisankaran, Krainer Krainer (2011)
Entry and Pricing in a Differentiated Products Industry: Evidence from the ATM MarketRAND Journal of Economics, 42
-
Schmalensee Schmalensee (1978)
Entry Deterrence in the Ready?to?Eat Breakfast Cereal IndustryBell Journal of Economics, 9
-
The Dominant-Firm Advantage in Multiproduct Industries: Evidence from the U. S. Airlines
Quarterly Journal of Economics, 106
-
Berry (1994)
Estimating Discrete-Choice Models of Product DifferentiationRAND Journal of Economics, 25
-
Choi (2004)
Plan Design and 401(k) Savings OutcomesNational Tax Journal, 57
-
Kadiyali Kadiyali, Vilcassim Vilcassim, Chintagunta Chintagunta (1998)
Product Line Extensions and Competitive Market Interactions: An Empirical AnalysisJournal of Econometrics, 89
-
Elton (2006)
The Adequacy of Investment Choices Offered by 401K PlansJournal of Public Economics, 90
-
Multiproduct Firms and Market Structure
RAND Journal of Economics, 21
-
Shaked Shaked, Sutton Sutton (Dec., 1987)
Product Differentiation and Industrial StructureJournal of Industrial Economics, 36
-
Ellickson (2006)
Quality Competition in Retailing: A Structural AnalysisInternational Journal of Industrial Organization, 24
-
Draganska (2005)
Product-Line Length as a Competitive ToolJournal of Economics and Management Strategy, 14
-
Holmes Holmes, Stevens Stevens (2002)
Geographic Concentration and Establishment ScaleReview of Economics and Statistics, 84
-
Klemperer Klemperer (1995)
Competition When Consumers Have Switching Costs: An Overview with Applications to Industrial Organization, Macroeconomics, and International TradeReview of Economic Studies, 62
-
Cohen (2009)
Attracting Flows by Attracting Big ClientsJournal of Finance, 64
-
Matutes Matutes, Regibeau Regibeau (1988)
Mix and Match?: Product Compatibility without Network ExternalitiesRAND Journal of Economics, 19
-
Pollet Pollet, Wilson Wilson (2008)
How Does Size Affect Mutual Fund Behavior?Journal of Finance, 63
-
Systems Competition and Network Effects
Journal of Economic Perspectives, 8
-
How Does Incompatibility Affect Prices. Evidence from ATMs
Journal of Industrial Economics, 57
-
Sirri Sirri, Tufano Tufano (1998)
Costly Search and Mutual Fund FlowsJournal of Finance, 53
-
How Do Family Strategies Affect Fund Performance? When Performance?Maximization is not the Only Game in Town
Journal of Financial Economics, 67
-
Agnew (2003)
Portfolio Choice and Trading in a Large 401(k) PlanAmerican Economic Review, 93
- Publisher
- Wiley
- Copyright
- © 2011, RAND.
- ISSN
- 0741-6261
- eISSN
- 1756-2171
- DOI
- 10.1111/j.1756-2171.2010.00154.x
- Publisher site
- See Article on Publisher Site
Abstract
When consumers concentrate their purchases at a single firm, firms that offer more products than their rivals gain market share for all their products. These spillovers induce firms to offer a greater variety of products rather than lower prices, and a concentrated industry with few large firms can arise if spillovers are strong enough. This article presents a simple model that illustrates this mechanism explicitly. The empirical analysis documents strong demand spillovers in the retail segment of the U.S. mutual fund industry, in which fees are nontrivial, families offer many funds, and the market is quite concentrated. Instead, spillovers are weaker, fees are lower, families offer fewer funds, and the market structure is more fragmented in the institutional segment.
Journal
The Rand Journal of Economics – Wiley
Published: Dec 1, 2011