Price Indexes for Microsoft&Apos;S Personal Computer Software Products

30 Pages Posted: 14 Sep 2003 Last revised: 27 Mar 2021

See all articles by Jaison R. Abel

Jaison R. Abel

Federal Reserve Bank of New York

Ernst R. Berndt

Massachusetts Institute of Technology (MIT) - Sloan School of Management; National Bureau of Economic Research (NBER)

Alan G. White

Analysis Group, Inc. - Economics

Date Written: September 2003

Abstract

Using a unique and comprehensive data source, we measure price changes for Microsoft's desktop personal computer software products during the time period July 1993 through June 2001. This paper contributes to a relatively small literature on price measurement of pre-packaged software by incorporating important channels of distribution, such as volume licensing and Original Equipment Manufacturer, as well as changes in product form, such as upgrades and integrated productivity suites, into matched-model price indexes. Although there are differences over time periods and across products, we find that the prices of Microsoft's desktop operating systems and applications have generally been falling over this time period.

Suggested Citation

Abel, Jaison R. and Berndt, Ernst R. and White, Alan G., Price Indexes for Microsoft&Apos;S Personal Computer Software Products (September 2003). NBER Working Paper No. w9966, Available at SSRN: https://ssrn.com/abstract=444305

Jaison R. Abel

Federal Reserve Bank of New York ( email )

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Ernst R. Berndt (Contact Author)

Massachusetts Institute of Technology (MIT) - Sloan School of Management ( email )

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National Bureau of Economic Research (NBER)

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Alan G. White

Analysis Group, Inc. - Economics ( email )

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617-864-3742 (Fax)

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