Showing 1 - 10 of 3,985
We study the implications of credit constraints for the sustainability of product market collusion in a bank-financed oligopoly in which firms face an imperfect credit market. We consider two situations, without and with credit rationing, i.e., with a binding credit limit. When there is credit...
Persistent link: https://www.econbiz.de/10011587934
We explore the intertwined dynamics of asset prices and the macroeconomy in a Behavioural model of Credit Cycles (BCC) characterized by a credit friction à la Kiyotaki and Moore and heterogeneous expectations cum heuristic switching à la Brock and Hommes. This behavioural approach allows to...
Persistent link: https://www.econbiz.de/10013380476
through asset building. The theoretical and empirical results indicate that an increase in the initial level of competition … implies greater export incentive. However, over the life cycle of a firm, the role of competition is impacted by the intensity … of capital accumulation and the initial level of wealth. Greater local competition before the entry of firms in the …
Persistent link: https://www.econbiz.de/10012199980
that funding competition does not rectify the investment inefficiency nor will it improve pooling of individual income … competition and restricted participation yields the highest level of social welfare. -- higher education ; funding competition …
Persistent link: https://www.econbiz.de/10009303925
credit market competition is intense. The latter emerges when banks exercise market power. Thus, competition is beneficial to …
Persistent link: https://www.econbiz.de/10010249670
In U.S. data 1981-2012, unsecured firm credit moves procyclically and tends to lead GDP, while secured firm credit is acyclical; similarly, shocks to unsecured firm credit explain a far larger fraction of output fluctuations than shocks to secured credit. In this paper we develop a tractable...
Persistent link: https://www.econbiz.de/10010503469
Using data from the US automobile market, we empirically examine the link between competition and innovation … interesting market to examine the link between competition and innovation. We use firm-level time-series data over a long horizon … relationship is reasonably non-linear; (2) higher market-wide competition results in an increase in patenting, and the relationship …
Persistent link: https://www.econbiz.de/10011342391
competition by a competitive fringe that produces low quality. We show that the brand manufacturer optimally provides a decoy good …
Persistent link: https://www.econbiz.de/10011557863
) strategic interactions appear to emerge from tax competition rather than yardstick competition, with capital controls and fiscal … the political agency (yardstick competition) does not necessarily engender a "race to the bottom". …
Persistent link: https://www.econbiz.de/10010479922
The concept of electoral competition plays a central role in many subfields of political science, but no consensus …
Persistent link: https://www.econbiz.de/10011951989