Showing 1 - 10 of 1,787
Persistent link: https://www.econbiz.de/10005209130
This paper presents a theory of government intervention which provides an explanation for "industrial strategy" policies such as R&D or export subsidies in imperfectly competitive international markets. Domestic net welfare improves by capturing a greater share of the output of rent earning...
Persistent link: https://www.econbiz.de/10005688336
When R&D takes place before the associated output is produced, imperfectly competitive firms may use R&D for strategic purposes rather than to simply minimize costs. Using a symmetric two-stage Nash duopoly model we show that such strategic use of R&D increases total R&D undertaken, increases...
Persistent link: https://www.econbiz.de/10005688342
This paper examines an industry where output is determined collusively, with output shares allocated on the basis of relative capacity. Capacity is chosen non-cooperatively, providing an apparently clear incentive for firms to install excess capacity. Although excess capacity equilibria (ECE)...
Persistent link: https://www.econbiz.de/10005653043
Efficient second best pricing is examined for a public enterprise facing two distortions: a profit constraint and imperfect competition. We suggest a measure of downstream industry distortion for efficient pricing. The pricing rule constrains two elements: the shadow value of public profit and...
Persistent link: https://www.econbiz.de/10005653133
This paper examines the incentives for using tariffs to extract monopoly rents from imperfectly competitive foreign firms. Using a simple Stackelberg entry deterrence model, the rent-extracting policy is attractive if the foreign firm faces a threat of domestic entry. Despite transportation...
Persistent link: https://www.econbiz.de/10005653178
This paper reviews the literature on strategic trade policy. Strategic trade policy is defined as trade policy that conditions or alters a strategic relationship between firms, implying that strategic trade policy focuses primarily on trade policy in the presence of oligopoly. The key point is...
Persistent link: https://www.econbiz.de/10012473873
This paper examines the relationship between the Toronto Stock Exchange (TSE) and election polls during the 1988 Canadian General Election campaign. Two hypotheses are investigated: first, did polls influence the TSE, and secondly, if so, did the nature of the influence suggest that investors...
Persistent link: https://www.econbiz.de/10012475973
This paper examines the welfare effects of a tax on foreign purchases of domestic land. Using a simple static framework the paper shows that an appropriately chosen tax will generally be welfare-improving for the domestic country
Persistent link: https://www.econbiz.de/10012475976
Persistent link: https://www.econbiz.de/10009904060