Showing 1 - 6 of 6
Calculating explicit closed form solutions of Cournot models where firms have private information about their costs is, in general, very cumbersome. Most authors consider therefore linear demands and constant marginal costs. However, within this framework, the nonnegativity constraint on prices...
Persistent link: https://www.econbiz.de/10010906112
We re-examine the literature on mobile termination in the presence of network externalities. Externalities arise when firms discriminate between on- and off-net calls or when subscription demand is elastic. This literature predicts that profit decreases and consumer surplus increases in...
Persistent link: https://www.econbiz.de/10008592876
We consider a dynamic model where traders in each period are matched randomly into pairs who then bargain about the division of a fixed surplus. When agreement is reached the traders leave the market. Traders who do not come to an agreement return next period in which they will be matched again,...
Persistent link: https://www.econbiz.de/10005582677
We study a retail benchmarking approach to determine access prices for interconnected networks. Instead of considering fixed access charges as in the existing literature, we study access pricing rules that determine the access price that network i pays to network j as a linear function of the...
Persistent link: https://www.econbiz.de/10005168477
This paper reconsiders the evidence on lying or deception presented in Gneezy (2005,American Economic Review). We argue that Gneezy?s data cannot reject the hip?esis that people are one of two kinds: either a person will never lie, or a person will lie whenever she prefers the outcome obtained...
Persistent link: https://www.econbiz.de/10005168488
In this paper, we study how access pricing affects network competition when subscription demand is elastic and each network uses non-linear prices and can apply termination-based price discrimination. In the case of a fixed per minute termination charge, we find that a reduction of the...
Persistent link: https://www.econbiz.de/10005082670