Shinkai, Tetsuya; Ohkawa, Takao; Okamura, Makoto; … - School of Economics, Kwansei Gakuin University - 2012
We examine the relationship between the objective of a monopolist and limited liability. We establish that the owners of a monopolistic firm are better off to choose profit maximization rather than sales maximization under both unlimited and limited liability. This is consistent with the fact...