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We build an econometric model of a household's purchase incidence and brand choice decisions in complementary product categories to account for cross-category dependence in demand. Complementarity is modeled as the additional utility that a household derives from the joint consumption of brands...
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We study the collusive efficacy of competition clauses (CC) such as the meeting competition clause (MCC) and the … beating competition clauses (BCC) in a general framework. In contrast to previous theoretical studies, we allow for repeated …
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competition in both markets. I consider a demand structure where both Cournot and Bertrand competition can be evaluated. Bundling … is completely ineffective when firms compete in quantities. On the contrary, under Bertrand competition, selling the two …
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