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Railway networks are characterised by variations in demand on different links. Optimal strategies therefore call for a differentiated treatment of fares, frequencies and vehicle sizes in various links. However, for several reasons, railway operators may apply uniform levels for these decision...
Persistent link: https://www.econbiz.de/10011350362
In this paper, we tackle the dilemma of pruning versus proliferation in a vertically differentiated oligopoly under the assumption that some firms collude and control both the range of variants for sale and their corresponding prices, likewise a multiproduct firm. We analyse whether pruning...
Persistent link: https://www.econbiz.de/10011451580
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We develop a two-stage game in which competing airlines first choose the networks of markets to serve in the first stage before competing in price in the second stage. Spillovers in entry decisions across markets are allowed, which accrue on the demand, marginal cost, and fixed cost sides. We...
Persistent link: https://www.econbiz.de/10014313556
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Industry-wide voluntary agreements are touted as a means for corporations to take more corporate social responsibility (CSR). We study what type of joint CSR agreement induces firms to increase CSR efforts in a model of oligopolistic competition with differentiated products. Consumers have a...
Persistent link: https://www.econbiz.de/10012591411
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environment, their agreements may be exempted from cartel law. To qualify, the public benefits must compensate consumers for … higher prices of the private good. We study the balancing involved in assessing a public interest-cartel in a public goods … Samuelson condition. The cartel will provide minimal public good for maximal overcharges. Nevertheless it is typically not …
Persistent link: https://www.econbiz.de/10012149732
theory to show how an interbank lending rates cartel can be sustained by preemptive portfolio changes. Exchange of … direction in which to rig the rate, however, their interests need to be sufficiently aligned. In this paper we develop cartel … in eligible transactions rigging to justify their submissions. As the cartel is not able to always find stable …
Persistent link: https://www.econbiz.de/10011791538
In this paper we investigate whether markets with heterogeneous network externalities can belocked-in by old technologies even if superior technologies are available. Heterogeneous networkexternalities are present when some consumers care more about the size of the market share of agood than...
Persistent link: https://www.econbiz.de/10011304401