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One disputed topic in Organization and Management economics is how leadership and collusive agreements are set and maintained in industries where firms are characterised by similar technological opportunities and structures. This topic is particularly important to analyse online and digital...
Persistent link: https://www.econbiz.de/10014437914
In this paper we study the behavior of rivals when there is a known probability of imminent entry. Experimental markets are used to collect data on pre- and post-entry production when there is an announced time of possible entry; some markets experience entry and other do not. In all pre-entry...
Persistent link: https://www.econbiz.de/10012993023
This paper presents an experiment to test effects of sequential entry on stability of collusion in oligopoly markets. Previous research suggests that the larger the number of firms, the harder it is to sustain collusion. We find that when groups start off small and the entrant is informed about...
Persistent link: https://www.econbiz.de/10012713807
We use experimental methods to demonstrate the anti-competitive potential of price matching guarantees in both symmetric and asymmetric cost duopolies. Our findings establish that when costs are symmetric, price-matching guarantees significantly increase market prices. In markets with cost...
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, in line with economic theory, that firms with no market power are able to shift a high share of a tax burden on to …
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