Basu, Kaushik; Ghosh, Arghya; Ray, Tridip - In: Review of Development Economics 1 (1997) 1, pp. 71-90
In developing economies a firm's strategy is directed more often at the government than at other competing firms. As an initial step towards modeling such interactions this paper considers a situation where a government confronts a monopoly. The latter chooses price and maximizes profit and the...