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Recent empirical evidence indicates that capital structure changes affect pricing strategies. In most cases, prices increase following the implementation of a leveraged buyout of a major firm in an industry, with the more levered firm charging higher prices on average. Notable exceptions exist...
Persistent link: https://www.econbiz.de/10012473361
This paper models the international competition between a domestic firm and its vertically integrated foreign rival …
Persistent link: https://www.econbiz.de/10012476137
the opportunity for managerial slack. Consistent with the notion that competition mitigates managerial slack, we find that …, firms in competitive industries experience no significant effect. When we examine which agency problem competition mitigates …
Persistent link: https://www.econbiz.de/10012463770
Can patent protection and product market competition complement each other in enhancing incentives to innovate? In this … product market competition interact with the strength of patent rights. We provide empirical evidence of innovation responding … with step-by-step innovation models predicting that product market competition enhances innovation and, more importantly …
Persistent link: https://www.econbiz.de/10012459807
competition affect the incentives given to scientists, and these effects interact. First, high knowledge spillovers lead firms to … soften incentives when product market competition is high, and to strengthen incentives when competition is low. Second, the … relationship between the intensity of competition and the power of incentives is U-shaped, with the exact shape depending on the …
Persistent link: https://www.econbiz.de/10012461628
host-country research and development effort in response to foreign competition, is one of three examining the impact of …
Persistent link: https://www.econbiz.de/10012478974
This paper examines the role of corporate headquarters in allocating scarce resources to competing projects in an internal capital market. Unlike a bank lender, headquarters has control rights that give it both the authority and the incentive to engage in 'winner-picking' -- the practice of...
Persistent link: https://www.econbiz.de/10012473785
In all modern industrial countries, redistributive expenditures are a larger component of the government budget than consumption of goods and services. In this paper, we use a general equilibrium, two- country model with exportables, importables and nontradables to study redistribution across...
Persistent link: https://www.econbiz.de/10012474110
Firm numbers first rise, and then fall as the typical industry evolves. This nonmonotonicity in the number of producers is explained in this paper using a competitive model in which innovation opportunities induce firms to enter, but in which a firm's failure to implement new technology causes...
Persistent link: https://www.econbiz.de/10012474509
We examine competition amongst ridesharing platforms where firms compete by choosing both the price of rides and the … involve monopoly or competition under various multihoming regimes, depending on the density of the city, and the relative …
Persistent link: https://www.econbiz.de/10012452915