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prevent participants from using their world knowledge about antitrust, we experimentally test them on a neutral matrix game …
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stay away from investment wars. Using the results from 107 published experiments on oligopoly, a meta-study shows that … risk of collusion in the product market if products are substitutes, if capacity cannot immediately be extended, if market …
Persistent link: https://www.econbiz.de/10010286728
Two suppliers of a homogenous good know that, in the second period, they will be able to collude. Gains from collusion are split according to the Nash bargaining solution. In the first period, either of them is able to invest into process innovation. Innovation changes the status quo pay-off,...
Persistent link: https://www.econbiz.de/10010264811