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We study competition in markets with transport costs and capacity constraints. We compare the outcomes of price competition and coordination in a theoretical model and find that when firms compete, they more often serve more distant customers who are closer to the competitor’s plant. If firms...
Persistent link: https://www.econbiz.de/10014033912
In this Article we focus upon an area in which greater convergence of U.S. policy with the practice of many foreign countries is long overdue: the treatment of public policies that suppress competition. Whereas the European Union (“EU”) and numerous other jurisdictions have taken strong...
Persistent link: https://www.econbiz.de/10014039873
algorithms, so too will the types of collusion. We are shifting from the world where executives expressly collude in smoke … scenarios where AI can foster anticompetitive collusion and the legal and ethical challenges each scenario raises …
Persistent link: https://www.econbiz.de/10014109165
This paper develops a model that formalizes several connections between mergers, collusion and competition policy. In … equilibrium, firms may merge to make collusion sustainable when it cannot be sustained with the original set of firms. A rise in … the probability of detecting and prosecuting collusion could induce a wave of mergers, so firms can sustain collusion …
Persistent link: https://www.econbiz.de/10014110460
In the presence of network externalities, we compare the stability of collusion under Bertrand and Cournot duopoly with … competition than under Cournot competition in the sense of wide range of network externalities; (ii) collusion in prices …
Persistent link: https://www.econbiz.de/10014092591
Switching costs and network effects bind customers to vendors if products are incompatible, locking customers or even markets in to early choices. Lock-in hinders customers from changing suppliers in response to (predictable or unpredictable) changes in efficiency, and gives vendors lucrative ex...
Persistent link: https://www.econbiz.de/10014024585
collusion. The degree to which the regulated agents manage to collude will be affected by the particulars of the scheme. We … hypothesize that in a repeated game setting schemes will be more prone to collusion the smaller are the rents to the agents in …
Persistent link: https://www.econbiz.de/10014029205
Most technical standards development organizations (SDOs) have adopted internal policies embodying “due process” criteria such as openness, balance of interests, consensus decision making, and appeals. Unlike other aspects of SDO governance, relatively little scholarly research has...
Persistent link: https://www.econbiz.de/10014081903
This paper studies asymmetric platforms' incentives for enforcing exclusivity on multihoming sellers. We show that exclusivity benefits a platform only when its service is not very valuable to sellers, and hence can be initiated by a weak platform rather than the stronger one. It is possible for...
Persistent link: https://www.econbiz.de/10014082628
Starting from a theoretical model of coalition formation, we analyse which price markers are more adequate to identify clues of a partial cartel. Based on the theoretical model, we argue that measures of the shape of a distribution (such as kurtosis and skewness) are more adequate to partial...
Persistent link: https://www.econbiz.de/10013294808