Multimarket contact theory predicts that firms will optimally reduce prices in markets where collusive prices are sustainable and allocate the slack of the corresponding incentive compatibility to increase prices in markets where collusion is not sustainable. Binding price caps in collusive...

In this paper, we identify the main determinants of firms’ decision to include public research institutes in their R&D cooperation agreements. To this end, we estimate the probability that they take such a decision by applying a probit model to a dataset on Research Joint Ventures developed...