Similar Search Results

Competition, Regulation and Managerial Incentives

De Fraja, Gianni; Iossa, Elisabetta - C.E.P.R. Discussion Papers - 1994

This paper examines the effects of a competitive fringe on a regulated firm. Using Hart's (1983) model, we show that competition weakens the managerial incentives for cost reduction: when there is correlation between the cost levels of the firms in the industry, costs are higher in the regulated...

Persistent link: https://www.econbiz.de/10005067523

Entry, Pricing and Incentives: The Role of Regulatory Commitment

De Fraja, Gianni - C.E.P.R. Discussion Papers - 1994

This paper studies the optimal regulatory policy in a market where entry may occur. The regulator regulates the … incumbent, but not the entrant in the event of entry. We show that the effect of entry on prices and incentives for cost … outcome following entry is less competitive than it would be without the possibility to commit: price is higher and incentives …

Persistent link: https://www.econbiz.de/10005067561

The Demand for Tobacco in Post-Unification Italy

Ciccarelli, Carlo; De Fraja, Gianni - C.E.P.R. Discussion Papers - 2012

This paper studies the demand for tobacco products in post-unification Italy. We construct a very detailed panel dataset of yearly consumption in the 69 Italian provinces from 1871 to 1913, and use it to estimate the demand for tobacco products. We find support for the Becker and Murphy (1988)...

Persistent link: https://www.econbiz.de/10011084528