Summary This paper is about conscious parallelism in a duopoly with differentiated products. Conscious parallelism is modelled by a “policy of fixed relative prices” (frp) i. e. starting from a competitive equilibrium both duopolists vary prices by the same percentage. This price increasing...

Abstract Innovation is fundamental to sustainable economic development because input resources are finite. When an economy faces constraints such as land and labour, innovation fuels continued growth through new technologies that utilises the limited resources more productively. Competition...

In the light of today’s rampant globalization, there is an increasing need for developing a system of antitrust that serves to regulate the world market. This article describes the problems relating to the globalization of antitrust in the face of differing, and often conflicting, aims of...

Abstract In this paper, we ask how antitrust immunity subject to a carve-out affects collusion incentives in international airline alliances. We show that the gains from economies of density due to higher interline traffic under the alliance strengthen the incentive to collude on the interhub...

Abstract We study service fee and network size competition in an ATM market between an incumbent and an independent deployer, and its optimal regulation. We also analyze an actual regulation of such a market by competition authorities in Finland. Compared with the first-best regulation, we find...

Countries have differences in competition policies, which are cause for friction in international trade and investment. This paper discusses those issues and develops a model to try to explain the willingness of countries to participate in a cooperative competition policy. The model suggests...