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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...
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by durables whereas unsecured debt can be discharged in bankruptcy procedures. We show that the model matches the main … exemptions in bankruptcy procedures have very small effects on the equilibrium. -- Household debt portfolios ; Durables … ; Collateral ; Income risk ; Bankruptcy …
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