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Although Cournot's mathematical economics was generally neglected until the mid- 1870s, he was taken up and carefully studied by the Scientific Club of Cambridge, Massachusetts even before his "discovery" by Walras and Jevons. The episode is reconstructed from fragmentary manuscripts of the...
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to charge the monopoly price. This paper compares a Demsetz auction, which awards an exclusive contract to the agent … bidding the lowest price (competition for the field) with having two agents provide the good under (imperfectly) competitive … independent of the particular duopoly game played ex post. We apply this condition to three canonical examples procurement …
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We investigate the effect of a ban on third-degree price discrimination on the sustainability of collusion. We build a …-response symmetries so that profits in the static Nash equilibrium are higher if price discrimination is allowed. (ii) Best …-response asymmetries so that profits in the static Nash equilibrium are lower if price discrimination is allowed. In both cases, firms …
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In a framework with an upstream monopoly and a downstream duopoly, we analyze the impact of convex costs on the …
Persistent link: https://www.econbiz.de/10011435014
We develop a model of vertical innovation in which firms incur a market entry cost and choose a unique level of quality. Once established, firms compete for market shares, selling to consumers with heterogeneous tastes for quality. The equilibrium of the pricing game exists and is unique within...
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