Dargaud, Emilie; Reggiani, Carlo - 2009
†
Carlo Reggiani
‡
June 2009
Abstract
The theoretical analysis of merger poses a number of paradoxes. If
firms compete in … prices, a merger is profitable for all parties involved.
Outsiders, however, free-ride and earn higher profits than insiders … with homogeneous
products, linear demand and cost functions, a merger is beneficial for parti-
cipating firms if more than …