Engel, Christoph; Zhurakhovska, Lilia - 2011
dampens cooperation, though only slightly. Surprisingly, externalities are immaterial. If we control for beliefs, they even … we add beliefs as a control variable, we only find that externalities enhance cooperation, even if gains from collusion … cooperation, undercutting is defection. Jointly, competitors are better off if both are faithful to a cartel. Individually, profit …