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This paper presents an overlapping generations model of environmental externalities with a depollution technology. We show that if an agent is sufficiently risk averse, voluntary contribution is a decreasing function of average efficiency of depollution technology. If on the contrary, the...
Persistent link: https://www.econbiz.de/10005478932
This paper presents an overlapping generations model of environmental externalities with a depollution technology. Each agent concerned by the environmental degradation can voluntarily contribute in order to reduce it. Contributing to the environmental quality means financing depollution...
Persistent link: https://www.econbiz.de/10005042991
Competitive aggressiveness is analyzed in a simple spatial competition model, where each one of two firms supplies two … controlled by each firm through its manager hiring decision, in a preliminary stage of a delegation game. When competition is … effect on profitability of more intense competition. …
Persistent link: https://www.econbiz.de/10010927732
consumers. The regulator designs a mechanism that guarantees financing of the essential input and adequate competition in the …
Persistent link: https://www.econbiz.de/10005008615
There is a general presumption that competition is a good thing. In this paper we show that competition in the … competition if and only if competition leads to market unravelling. When there are a continuum of types the efficiency of … competition is less trivial. In effect monopoly is shown to provide better insurance but at the cost of driving out some agents …
Persistent link: https://www.econbiz.de/10005008696
The welfare impact of a merger involves the market power offense and the efficiency defense. Salant et al. (1983) show that mergers among symmetric firms are unprofitable except for monopolization. We characterize the limit to this merger paradox in a simple linear Cournot oligopoly with...
Persistent link: https://www.econbiz.de/10008494368
This note analyzes the effect of product complementarity in a bilateral oligopoly. We show that offers of traders on the two sides of the market are strategic complements (substitutes) if and only if the two goods are substitutes (complements). The outcome of the bilateral oligopoly game...
Persistent link: https://www.econbiz.de/10005779403
Persistent link: https://www.econbiz.de/10005779406
Persistent link: https://www.econbiz.de/10005779418
Both product differentiation through quality and capacity commitment have been shown to relax price competition …
Persistent link: https://www.econbiz.de/10005779424