Similar Search Results

Horizontal mergers and exit in declining industries

Filson, Darren; Songsamphant, Bunchon - 2001

Previous work on exit in declining industries has neglected mergers. We examine a simple model that predicts which declining industries experience horizontal mergers. Mergers are more likely if 1) market concentration is high; 2) the inverse demand curve is steep at high levels of output and...

Persistent link: https://www.econbiz.de/10011569023

Horizontal mergers in the presence of vertical relationships

Ghosh, Arghya; Morita, Hodaka; Wang, Chengsi - 2014

We study welfare effects of horizontal mergers under a successive oligopoly model and find that downstream mergers can increase welfare if they reduce input prices. The lower input price shifts some input production from cost- inefficient upstream firms to cost-efficient ones. Also, the lower...

Persistent link: https://www.econbiz.de/10011491438

Horizontal merger under strategic tax policy

Liu, Chih-Chen; Mukherjee, Arijit; Wang, Leonard F. S. - 2014

We show that the presence of a strategic tax policy increases the incentive for a horizontal merger compared to the … a horizontal merger that has been ignored in the existing literature. In contrast to the usual belief, we also show that … a horizontal merger may benefit the consumers and the society. …

Persistent link: https://www.econbiz.de/10010412755