According to the so-called Exclusion Principle (introduced by Baye et alii, 1993), it might be profitable for the seller to reduce the number of (fullyinformed) potential bidders in an all-pay auction. We show that the Exclusion Principle does not apply if the seller regards the bidders' private...

We study the equilibrium of the all-pay auction with complete information and a reserve price, and compare it with that of standard auctions. The seller should set a reserve price even when she faces incomplete information. In the latter setting, ex-ante asymmetry among bidders appears necessary...

We examine the role of per capita income in closed and open economy models of monopolistic competition based on non-homothetic directly additive preferences a la Dixit-Stiglitz, as in Krugman (1979). In a closed economy with free entry income is always neutral on markups and firm size. In a...

We study monopolistic competition under indirect additivity of preferences. This is dual to the Dixit-Stiglitz model, where direct additivity is assumed, with the CES case as the only common ground. Other examples include (perceived) demand functions that are exponential or linear. Our...

We study monopolistic competition under indirect additivity of preferences. This is dual to the Dixit-Stiglitz model, where direct additivity is assumed, with the CES case as the only common ground. Other examples include (perceived) demand functions that are exponential or linear. Our...

We study the equilibrium of the all-pay auction with complete information and a reserve price, and compare it with that of standard auctions. The seller should set a reserve price even when she faces incomplete information. In the latter setting, ex-ante asymmetry among bidders appears necessary...

According to the so-called Exclusion Principle (introduced by Baye et alii, 1993), it might be profitable for the seller to reduce the number of (fullyinformed) potential bidders in an all-pay auction. We show that the Exclusion Principle does not apply if the seller regards the bidders' private...

We examine the role of per capita income in closed and open economy models of monopolistic competition based on non-homothetic directly additive preferences à la Dixit-Stiglitz, as in Krugman (1979). In a closed economy with free entry income is always neutral on markups and firm size. In a...