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We analyze the impact of mandatory access on the infrastructure iinvestments of two competing communications networks, and show that for low (high) access charges firms wait (preempt each other). Contrary to previous results, under preemption a higher access charge can delay first investment....
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While the traditional role of insurers is to provide protection against idiosyncratic risks of individuals, insurers themselves face substantial uncertainties due to aggregate shocks. To prevent insurers from passing through aggregate risks to consumers, governments have increasingly adopted...
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welfare level for three alternative models of downstream competition. For each particular model, it derives the range of input … entrant to undertake the efficient decision in the case of Cournot competition and is not necessarily socially optimal in the …-based competition and encouraging facilities-based competition. Therefore, this article also provides the optimal access pricing policy …
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In this article, we ask the basic question: Is it necessarily the case that allowing or promoting settlement of lawsuits enhances social welfare? Our answer is not necessarily; there are circumstances where actually prohibiting settlement generates more social welfare than allowing it....
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industries from foreign competition while simultaneously allowing joint ventures between domestic manufacturers and foreign ones …
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