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Market delineation is a fundamental tool in modern antitrust analysis. However, the definition of relevant markets can be very difficult in practice. This preliminary draft applies a new methodology combining a simple price correlation test with hierarchical clustering -a method known from...
Persistent link: https://www.econbiz.de/10011929833
competition. The model is built on the assumption of a product market and has not yet been empirically tested on service …&D. Finally, as competition increases, small firms tend to seek more strategic alliances with competitors while large firms tend … capacity to handle innovation projects internally and as competition increases, so does the payoff of an edge to competitors. …
Persistent link: https://www.econbiz.de/10010281438
bidders' costs generally depends on the type and fierceness of the market competition, the specific auction format, and the …
Persistent link: https://www.econbiz.de/10010334084
We study the incentives to share private information ahead of contests, such as markets with promotional competition …
Persistent link: https://www.econbiz.de/10010334110
allowing for competition of both, buyers and sellers. Naivety of both is related to the idea that higher prices exclude worse … qualities. While competition of naive buyers increases prices, competition of naive sellers promotes effciency enhancing trade …
Persistent link: https://www.econbiz.de/10010263850
We examine how intermediary capitalization affects asset prices in a framework that allows for intermediary market power. We introduce a model in which capital-constrained intermediaries buy or trade an asset in an imperfectly competitive market, and we show that weaker capital constraints lead...
Persistent link: https://www.econbiz.de/10014544657
effects of increased import competition are reinforced for foreign owned firms. In contrast, in Bulgaria and Romania …
Persistent link: https://www.econbiz.de/10010313417
information and competence of households, in combination with stiffer competition among firms, will also increase the power of …
Persistent link: https://www.econbiz.de/10010335084
We investigate a market in which experts have a moral hazard problem because they need to invest in costly but unobservable effort to identify consumer problems. Experts have either high or low qualification and can invest either high or low effort in their diagnosis. High skilled experts are...
Persistent link: https://www.econbiz.de/10011688148
We provide a survey of the main mechanisms of market selection used in economics. We gather them in three theoretical paradigms (rational equilibrium, Simonesque and evolutionary), that we try to reconcile in terms of underlying laws of selection. We show that the three paradigms have been...
Persistent link: https://www.econbiz.de/10014541802