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With a two-period mixed oligopolistic framework, this paper analyses the interaction between the length of incentive contracts and market behaviour. Assuming an environment in which firms choose either a long-term or short-term contract, we examine how contracts differ between public and private...
Persistent link: https://www.econbiz.de/10005293083
In general, the introduction of competition into the public sector seems to lead to higher cost-efficiency in service production. However, there are examples of substantial cost increases in some areas. In this paper, using a mixed oligopoly model, we investigate the effects of deregulation on...
Persistent link: https://www.econbiz.de/10005187906
We analyze the capacity choice of firms in a long-run mixed oligopoly market, in which firms decide not only production quantity but also capacity scale. Our main purpose is to show that while a profit-maximizing firm maintains over capacity as a strategic device, a firm pursuing non-pure profit...
Persistent link: https://www.econbiz.de/10010629994
In this paper, we combine the Harris-Todaro wage differential and unemployment with product variety. We analyse how city size is determined and how it relates to unemployment. Our main conclusion is as follows. If the government or the city authority executes the policy leading to growth in the...
Persistent link: https://www.econbiz.de/10010888929
This study deals with an analysis of allocation of government authority between local and central governments. Using a relatively simple model, we examine three classes of issues: First, what type of public project is implemented under a (de)centralized system? Second, is the size of governments...
Persistent link: https://www.econbiz.de/10005391134
Concentrating on the property of information infrastructure, this paper examines the impact of publicly funded technology development on the spatial allocation of population and social welfare. Information and communication technologies attract much attention as elements of change in regional...
Persistent link: https://www.econbiz.de/10005391438
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This paper analyzes the endogenous choice problem of subsidy instruments as production expansion (export-promotion) policies. We consider a two-region economy in which firms produce a homogeneous good and sell it in a third region. The government in each region provides a production subsidy to...
Persistent link: https://www.econbiz.de/10011082633