Interproduct distances in a quality-space: inexact measurement in differentiated oligopoly analysis

DESPITE THE PASSAGE OF SOME FORTY YEARS SINCE THE FORMAL INTRODUCTION OF THE NOTION OF DIFFERENTIATED PRODUCTS, LITTLE, PROGRESS HAS BEEN MADE IN ITS RIGOROUS INCORPORATION INTO ECONOMIC THEORY. IF THE EXPERIENCE OF OTHER AREAS OF ECONOMIC THEORY IS RELEVANT, UNTIL SOME MEANS IS FOUND TO 'MEASURE' QUALITATIVE DIFFERENCES AMONG PRODUCTS SUBSTANTIAL ADVANCE IS NOT TO BE EXPECTED. A CALL FOR RELAXATION OF SCIENTIFIC STANDARDS TO MAKE PROGRESS IN A PROBLEM AREA CANNOT HOPE TO BE AS RINGING AS A HEROIC SUMMONS TO EMBRACE THEIR STERILE IF COMFORTING RIGOR. HOPEFULLY, EXPERIMENTAL SCALING METHODS WILL MAKE IT POSSIBLE TO INTRODUCE DIFFERENTIATED PRODUCTS INTO ECONOMIC THEORY ON AN EMPIRICAL BASIS. REFINEMENTS AND COMPLICATIONS WILL BE NECESSARY, BUT A RICH LITERATURE ON PSYCHOMETRIC SCALING TECHNIQUES AWAITS THE INVESTIGATOR. INITIAL EXPERIMENTS ARE ENCOURAGING. TABLES.