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This paper studies whether a monopolist with private marginal cost information has incentives to make cost-reducing innovations through research and development (R&D) when its output and price are regulated according to the incentive-compatible mechanism of Baron and Myerson (1982). Under...
Persistent link: https://www.econbiz.de/10011110689
The article is devoted to a phenomenon called vertical separation in the area of network industries. Vertical separation is understood as de-merging of infrastructure and delegating control over it to independent manager banned from operating on downstream markets which are subject to...
Persistent link: https://www.econbiz.de/10008526979
A new theory of capitalism is suggested. Its key moments and general logic are presented. This theory is based on the …
Persistent link: https://www.econbiz.de/10011259286
Myanmar. The development of a new transit route through Myanmar, depriving Bangladesh of its former monopoly, has modified the …
Persistent link: https://www.econbiz.de/10011259372
tax it would pay for acquiring monopoly rights on a particular venture, posted publicly on a government-auction website … it right away. The advantage to the state and its citizens is that monopoly efficiency does not just serve the monopolist … pain of losing the auction to a competitor. With minimal government intervention, the “invisible hand” of economic theory …
Persistent link: https://www.econbiz.de/10011259773
The present paper provides a descriptive analysis of the second-degree price discrimination problem on a monopolistic two-sided market. By imposing a simple two-sided framework with two distinct types of agents on one of its market sides, it will be shown that under incomplete information, the...
Persistent link: https://www.econbiz.de/10011260128
Consider a research lab that owns a patent on a new technology but cannot develop a marketable final product based on the new technology. There are two downstream firms that might successfully develop the new product. If the downstream firms' benefits from being the sole supplier of the new...
Persistent link: https://www.econbiz.de/10005260224
(Juglar cycles) having its origin in the initial diffusion process. The theory suggests that there exists two diffusion … those consumers with a sufficient personal income can afford the good. We have to distinguish between a monopoly market and … comparison with empirical data suggests that the theory describes the main trend of the product life cycle superimposed by short …
Persistent link: https://www.econbiz.de/10009295261
all platforms or a “pure” monopoly with just one platform. Literature has not generally discussed, which benchmark is the …
Persistent link: https://www.econbiz.de/10009372469
We analyze monopoly power in a market for a complementary fossil resource like oil in a two country/two period model …
Persistent link: https://www.econbiz.de/10011234837