In this study we specify and estimate a structural model of multiproduct firms for the semiconductor industry. In addition, we explicitly consider dynamics over the product life cycle. We find that these two aspects have important implications and provide evidence that (i) Spillover and...

In this study we derive a structural econometric model of learning by doing with multiproduct competition from a dynamic oligopoly game. We show the importance to account for multiproduction effects through product differentiation when measuring learning by doing. Using quarterly firm-level data...

Consumers may observe previous consumers’ choices. They may follow their choices if they think these consumers are better informed. In turn, firms may concentrate on influencing the early consumers. This, in turn, changes the nature of early consumers’ choice behavior as a signal for other...

We investigate a two-period Bertrand market in which one seller introduces a new product of uncertain quality. The new product competes with an alternative good of known quality. Ex ante neither sellers nor consumers know the value of the new product. While consumers can learn their valuation by...

In this paper, I study markets where consumers are heterogeneous with respect to both their concerns for the quality of goods and the image associated with them. Consumers with a taste for quality lend a positive image to the product of their choice and thereby increase the product's value to...

Welche Chancen bieten neue Produktionstechnologien im Kontext der Industrie 4.0 für Hochlohnstandorte, um gegenüber Niedriglohnstandorten wettbewerbsfähiger zu werden und unter Umständen sogar verlagerte Produktion zurückzuholen? Dies wird im vorliegenden Discussion Paper anhand einer...

One important function of consumption is for consumers to show off their taste, virtue or wealth. While empirical observations suggest that producers take this into account, existing research has concentrated on analyzing the demand side. This paper investigates how a monopolist optimally...

In der gegenwärtigen Diskussion gilt es als sicher, dass wir in einer Zeit rasant fortschreitender Automatisierung leben, die insbesondere durch den Einsatz von Robotern vorangetrieben wird. Die Roboterdichte gilt dementsprechend in vielen Publikationen als der zentrale Indikator der...

This paper applies a novel methodology to a unique dataset of large concentrations during the period 1990-2002 to assess merger control’s effectiveness. By using data gathered from several sources and employing different evaluation techniques, we analyze the economic effects of the European...

One of the most conspicuous features of mergers is that they come in waves, and that these waves are correlated with increases in share prices and price/earnings ratios. We test four hypotheses that have been advanced to explain merger waves: the industry shocks, q-, overvaluation and managerial...