This paper shows that a retailer may choose to differentiate his supplying producer from his rival's, at the expense of a downgrading in the quality of the product he offers to consumers, not to relax downstream competition, but to improve his buyer power in the negotiation with his producer. We...

This note outlines conditions under which we can identify a vertical supply model of multiple retailers’ and manufacturers’ oligopoly-pricing behavior. This is an important question particularly when the researcher believes, contrary to the traditional assumption followed in the...

In this paper different models of vertical relationships between manufacturers and retailers in the supermarket industry are compared. Demand estimates are used to compute price-cost margins for retailers and manufacturers under different supply models when wholesale prices are not observed. The...

In this paper, different models of vertical relationships between manufacturersand retailers in the supermarket industry are compared. Demand estimates areused to compute price-cost margins for retailers and manufacturers underdifferent supply models when wholesale prices are not observed. The...

The typical situation faced by antitrust authorities is to analyze a proposed manufacturer merger using scanner data at retail-level. Starting with a benchmark model of manufacturers' and retailers' sequential Bertrand-Nash pricing behavior, I perform counterfactual experiments to explore the...

While research has revealed the role of common property in risk diversification, poverty alleviation and resource management, few studies identify how common property management systems fill that role uniquely where market mechanisms or private property rights fail. To address that gap, the...

We analyze the interaction of asymmetric industries in international vertically related markets. Each downstream finn bargains efficiently with its domestic supplier in a first stage and with the foreign supplier in a second stage. The asymmetry in upstream costs leads to interindustry trade. It...