We analyze the strategic pricing and informative advertising decisions made by firms in duopolistic contexts. We show that whether the products are substitutes or complements, these exist strategic settings in which firms keep potential consumers uninformed about their products even if...

We study in this paper how the technological flexibility choices and equilibrium configurations depend first on the industry characteristics (demand function and cost parameters specific to the multiproduct flexible technology and to the product dedicated technologies) and, second, on the...

We show that whether observing technological choices made by the competitors is possible or not has significant impact on the equilibrium technological configurations. Depending upon the industry characteristics, the strategic value of technological flexibility may be either positive or...

This paper makes some steps toward a formal political economy of environmental policy. Economists' quasi-unanimous preferences for sophisticated incentive regulation is reconsidered.

We study the development of an industry-evolution of capacity, production and prices- in a continuous-time real-options model under various assumptions on competition. Investment takes the form of sequential acquisition of indivisible units of capacity. As benchmarks, we determine the optimal...