Showing 1 - 10 of 22
We analyze maximal cartel prices in infinitely-repeated oligopoly models under leniency where fines are linked to illegal gains, as often outlined in existing antitrust regulation, and detection probabilities depend on the degree of collusion. We introduce cartel culture that describes how...
Persistent link: https://www.econbiz.de/10011378956
We analyze how leniency affects cartel pricing in an infinitely-repeated oligopoly model where the fine rates are linked to illegal gains and detection probabilities depend on the degree of collusion. A novel aspect of this study is that we focus on the worst possible outcome. We investigate the...
Persistent link: https://www.econbiz.de/10010433900
For a general class of oligopoly models with price competition, we analyze the impact of ex-ante leniency programs in antitrust regulation on the endogenous maximal-sustainable cartel price. This impact depends upon industry characteristics including its cartel culture. Our analysis disentangles...
Persistent link: https://www.econbiz.de/10011377398
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/10011380471
Persistent link: https://www.econbiz.de/10009720709
Persistent link: https://www.econbiz.de/10011337990
In this paper we present two general results on the existence of a discrete zero point of a function from the n-dimensional integer lattice Zn to the n-dimensional Euclidean space Rn. Under two different boundary conditions, we give a constructive proof using a combinatorial argument based on a...
Persistent link: https://www.econbiz.de/10011346458
Persistent link: https://www.econbiz.de/10002200839
Persistent link: https://www.econbiz.de/10002459962
Persistent link: https://www.econbiz.de/10001371690