Showing 1 - 10 of 217
We study competition in price-quality menus when consumers privately know their valuation for quality (type), and are … intensity, from perfect competition to monopoly. …
Persistent link: https://www.econbiz.de/10011084418
This Paper examines competition between a dominant network and a challenging network with third-degree or perfect price … competition and reduces average equilibrium prices. Because bandwagon effects are due to the incompatibility of networks, under … incentives to unilaterally degrade the quality for some targeted group of consumers in order to weaken competition. …
Persistent link: https://www.econbiz.de/10005661635
This paper analyzes the impact of labor market competition and skill-biased technical change on the structure of … compensation. The model combines multitasking and screening, embedded into a Hotelling-like framework. Competition for the most … perfect competition, the resulting efficiency loss can be larger than that imposed by a single firm or principal, who distorts …
Persistent link: https://www.econbiz.de/10011083769
complements this pattern is reinforced while under competition in substitutes the principals trade off the benefits of …
Persistent link: https://www.econbiz.de/10011083946
Team production is a frequent feature of modern organizations. Combined with team incentives, team production can create externalities among workers, since their utility upon accepting a contract depends on their team’s performance and therefore on their colleagues’ productivity. We study...
Persistent link: https://www.econbiz.de/10011084476
crucial novel feature is the competition between lenders in their choice of contracts offered. The quality of investment … distribute themselves across all offered contracts. Competition between banks introduces three possibilities for a breakdown of …
Persistent link: https://www.econbiz.de/10005661861
This paper models payment evasion as a source of profit by letting the firm choose the purchase price and the fine imposed on detected payment evaders. For a given price and fine, the consumers purchase, evade payment, or choose the outside option. We show that payment evasion leads to a form of...
Persistent link: https://www.econbiz.de/10011276378
We show how introductory offers emerge endogenously under conditions of competition in markets with switching costs. In …
Persistent link: https://www.econbiz.de/10005662404
Interest rates on consumer lending are lower when funds are tied to purchase of a durable good than when they are made available on an unconditional basis. Further, dealers often choose to bear the financial cost of their customers’ credit purchases. This Paper interprets this phenomenon in...
Persistent link: https://www.econbiz.de/10005666581
This Paper provides an empirical examination of third-degree price discrimination in the Swedish newspaper industry. The results show that price discrimination is more prevalent in competitive markets and among newspapers with low market shares. This supports predictions from recent theoretical...
Persistent link: https://www.econbiz.de/10005666628