Given increasing obesity rates, fingers are often pointed at "big food" and their marketing practices. Restaurant meals are indeed larger than home-cooked meals, and portion sizes have increased. We consider constrained "socially optimal"--rather than decentralized profit-maximizing--portions to...

We analyze the dynamics of a game of sequential bidding in the presence of stochastic scale effects, either economies or diseconomies of scale. We show that economies of scale give rise to declining expected equilibrium prices, whereas the converse is not generally true. Moreover, first- and...