correlated. I show that the standard “one-sided” model of complements is a special case of the two-sided model, and that it … generates those same hallmark features of two-sided markets. The model of complements also performs well in predicting price … common outcome in two-sided markets. The main cost to using a model of complements to estimate cross-group effects in a two …

leader. The reverse is true below this level. This result holds for both substitutes and complements. …

monopolists, nesting standard models of perfect complements and imperfect substitutes. I show sufficient conditions for a discrete …

complementors. We study the interaction between firms in markets with one-way essential complements. One good is essential to the … of surplus between the two goods and the related incentive for firms to create complements to an essential good. Formally …

one. We find that information frictions lead to price dispersion. When the two goods are complements, their prices will … empirical evidence which suggests that simultaneous price discounts of complements are infrequent. If the goods are substitutes … complements, retailers earn higher profits than in the one-good model through taxing captive consumers with a high overall price …

depends on the degree of product differentiation in the composite good market. A merger between complements, which allows for …