Brekke, Kurt R.; Siciliani, Luigi; Straume, Odd Rune - 2015
merger by either reducing or increasing both price and quality. Welfare implications are not clear-cut and mergers might …We study the effects of horizontal mergers when firms compete on quality and price. Two key factors are identified: (i …) the magnitude of variable quality costs, and (ii) the relative magnitudes of cross-quality and cross-price effects on …