Showing 1 - 10 of 48
Even under antitrust enforcement, firms may still form a cartel in an infinitely-repeated oligopoly model when the discount factor is sufficiently close to one. We present a linear oligopoly model where the profit-maximizing cartel price converges to the competitive equilibrium price as the...
Persistent link: https://www.econbiz.de/10008838625
makes cartels that do form more stable: subjects use the possibility to report the cartel as an additional stick to control …
Persistent link: https://www.econbiz.de/10008531423
An experiment is conducted were subjects interact repeatedly to examine the effect of a particular leniency program on cartel formation, cartel stability and cartel recidivism. The program leads to lower prices for three reasons. First, non-cooperators are more persistent in their behavior which...
Persistent link: https://www.econbiz.de/10005137065
between competitive and collusive basing-point pricing. We define a measure for the likelihood of collusion that can be used … to screen industries that traditionally apply delivered pricing for the presence of cartels. We operationalize this … screen with a software. The test is hard to beat for cartels using this otherwise elusive form of price-fixing. When a cartel …
Persistent link: https://www.econbiz.de/10005137367
overt collusion, stable cartels buy at a lower price in EN than in FPSB resulting in a lower average winning bid in EN. … first-price sealed-bid auction (FPSB). In theory, both tacit and overt collusion are always incentive compatible in EN while …
Persistent link: https://www.econbiz.de/10008752907
We examine antitrust rules in a two county general equilibrium trade model, contrasting national and multilateral (cooperative) determination of competition policy, exploring the properties of the policy equilibrium. It is not imperfect competition, but variation in competitive stance between...
Persistent link: https://www.econbiz.de/10005209480
collusion. It allows an upstream cartel to shield itself from private damage claims by forwarding a share of cartel profits to …
Persistent link: https://www.econbiz.de/10005137007
We evaluate the impact of technology adoption subsidies on in- vestment behavior in an individual choice experiment. In a laboratory setting professional managers are confronted with an intertemporal decision problem in which they have to decide whether or not to search for, and possibly adopt,...
Persistent link: https://www.econbiz.de/10005144521
actually deceiving anyone. The design should be suitable for most economics experiments, and works by a modification of an … deception is used and the data cohere well both internally and with other public goods experiments. In addition, simultaneous …
Persistent link: https://www.econbiz.de/10005136962
This paper examines the conception of individuals as being of certain types in Harsanyi's transformation of games of incomplete information into games of complete information. It argues that while the conception of the individual in games of complete information offers potential advances over...
Persistent link: https://www.econbiz.de/10005144523