runs, and face a threat of entry. Higher competition increases deposit rates and bank fragility, resulting in an … intermediate socially optimal level of bank competition. We provide a novel theory of bank opacity. The cost of opacity is more …

theory of Stackelberg competition and Nash competition with strategic investment under endogenous entry. These theories are … applied to models of competition in quantities, prices and to patent races. The results are used to propose a new approach to … competition policy, and in particular to issues of abuse of dominance, which goes beyond the post-Chicago approach, and to analyse …