Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/300528 
Year of Publication: 
2024
Citation: 
[Journal:] Forum for Social Economics [ISSN:] 1874-6381 [Volume:] 53 [Issue:] 2 [Publisher:] Taylor & Francis [Place:] London [Year:] 2024 [Pages:] 201-215
Publisher: 
Taylor & Francis, London
Abstract: 
Orthodox price theory turns on flexible prices that move frequently to maintain market-clearing equilibrium. Fixed prices are a source of market imperfections and failures. In the traditional ethics of pricing, by contrast, prices should be set at a just norm and stay there, with only rare amendments. The current paper examines these attitudes to price variation and finds them inadequate: orthodox economics is too supportive of continual price changes, while the traditional ethics dwell too much on the just price. A case is made for treating price stability as being distinct from the just price and valuable in itself. Rather than yearning for an elusive optimum, ethical assessment of pricing can then be based on acceptable ranges for the price level and price variation.
Subjects: 
ethics
pricing
stability
market power
regulation
JEL: 
D40
D63
L51
Published Version’s DOI: 
Creative Commons License: 
cc-by-nc-nd Logo
Document Type: 
Article
Document Version: 
Accepted Manuscript (Postprint)
Appears in Collections:

Files in This Item:
File
Size





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.