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We present a simple model of spatial competition to analyse the impact of a structural change in transaction (transportation) costs on the location of firms.
Persistent link: https://www.econbiz.de/10005582666
This paper shows that moving from market segmentation to market integration (i.e. firms can no longer discriminate among markets) has anti-competitive effects in a repeated game setting in which a simple trigger strategy is the enforcement strategy. In particular, we show that two countries can...
Persistent link: https://www.econbiz.de/10005035570
This paper shows that moving from market segmentation to market integration (i.e. firms can no longer discriminate among markets) has anti-competitive effects in a repeated game setting in which a simple trigger strategy is the enforcement strategy. In particular, we show that two countries can...
Persistent link: https://www.econbiz.de/10005663921
We examine the endogenous formation of trade blocs when markets are characterized by imperfect competition and governments use import tariffs and export subsidies to alter the strategic interactions between oligopolistic firms. Using a simple model of intra-industry trade between three ex-ante...
Persistent link: https://www.econbiz.de/10005747071
This paper presents a new method that estimates the relative seller-concentration of an industry over both domestic and foreign sellers in 14 OECD countries, on the basis of a joint Structure-Performance and Brander-Krugman type model. Results suggest that overall seller-concentration is...
Persistent link: https://www.econbiz.de/10005630742
The purpose on this paper is twofold. First, we present an alternative model of agglomeration and trade that displays the main features of the recent economic geography literature while allowing for the derivation of analytical results by means of simple algebra. Second, we show how this...
Persistent link: https://www.econbiz.de/10005478915
Empirical evidence suggests that there are important spillovers as-sociated with the operations of multinational enterprises. Spillovers may occur when less advanced, local firms learn from their more ad-vanced, foreign competitors. But less advanced firms may also actively seek knowledge by...
Persistent link: https://www.econbiz.de/10005672005
This paper argues that interests of nationals and owners of home-based foreign capital in the formation of a Trade Agreements (TA) are not antagonistic, except under rather particular assumptions on initial tariffs among potential members. Further, if initial tariffs are endogenously determined...
Persistent link: https://www.econbiz.de/10005487160
The competitive effect of international market integration in industries with imperfect competition is of great policy interest. This paper focuses on the link between monopolization and market segmentation. It presents a model of multi-market entry deterrence with or without market commitments....
Persistent link: https://www.econbiz.de/10005639291
These notes discuss some of the main results and models from the theory of international trade under imperfect competition. They are necessairy both selective and superficial. Multinationals are conspicuous by their absence, and the reader is referred to Markusen (1995) for a recent survey. Up...
Persistent link: https://www.econbiz.de/10010334923