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We describe a computerized experiment which can be used to introduce students to imperfect competition in courses on …
Persistent link: https://www.econbiz.de/10014068378
on competition, and therefore on business dynamism, productivity and ultimately well-being. A recent update of the OECD …. Regulatory reform can improve consumer welfare by boosting competition and thus lowering prices of key goods and services, which … competition will also allow higher wages. Reducing barriers to entry can facilitate firm creation, boosting investment and jobs. …
Persistent link: https://www.econbiz.de/10012304414
The purpose of this study is to experimentally test Trockel's game, which is a modelling of the classical Chain Store Game (CSG), and determine whether one of the two theories of Equality and Deterrence may better account for the observed behavior. The CSG is an example of a simple game in...
Persistent link: https://www.econbiz.de/10012168597
Persistent link: https://www.econbiz.de/10011387176
competition in which variable markups increasing in firm size are a key source of misallocation across firms and countries. We use …
Persistent link: https://www.econbiz.de/10012890733
power. In those situations, governments could attempt to regulate the market or to increase competition. We provide the … first experimental evidence on the effect of increased competition on prices and quality relying on an intervention that …
Persistent link: https://www.econbiz.de/10012938027
This unique study examines the interactive role of bank competition and foreign bank entry in explaining the risk … stability. Furthermore, the joint effect of bank competition and foreign bank entry brings financial fragility because host … banks tend to make risky investments due to undue competition induced by foreign bank entry. We support the competition …
Persistent link: https://www.econbiz.de/10012025290
proven essential to increasing competition …
Persistent link: https://www.econbiz.de/10013296588
In this paper, we review and explore the strategic mechanisms that deter entry in banking. The literature relies on externality between banks to generate entry deterrence. Typically, the externality generated is caused by differential adverse selection faced by incumbents and entrants. In this...
Persistent link: https://www.econbiz.de/10013160112
When avoidable fixed costs are introduced into the entry model of Dixit (1980) and Ware (1984), there arises a coordination problem in selecting among post-entry Nash equilibria. Elimination of weakly dominated strategies allows the entrant to use a market-capturing strategy, consisting of a...
Persistent link: https://www.econbiz.de/10014106780