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monopoly problem when the price imperfectly signals quality to the uninformed buyers. We then study the effect of noise on …
Persistent link: https://www.econbiz.de/10013093809
monopoly problem when the price imperfectly signals quality to the uninformed buyers. We then study the effect of noise on …
Persistent link: https://www.econbiz.de/10013071968
monopoly entrusts pricing decisions to a manager who enjoys monetary rewards but dislikes production effort. We show that cheap …
Persistent link: https://www.econbiz.de/10012721849
We examine an infinite horizon model of quality growth in a durable goods monopoly market. The monopolist generates new …
Persistent link: https://www.econbiz.de/10012723743
relative to A. Hence, absent strong antitrust or intellectual property protections, the A firm can leverage its monopoly into B … substitute for Netscape; in our model, this maximizes Microsoft's joint monopoly profits. Furthermore, Microsoft has no incentive … complementary products, which suggests that a monopoly internet service provider will offer net neutrality.There are other means for …
Persistent link: https://www.econbiz.de/10012732764
this points to online platforms facing sleepless nights since any online platform that tries the quiet life of monopoly …
Persistent link: https://www.econbiz.de/10012951065
I provide a simple proof that a monopsony must necessarily be a monopoly. This is in contrast to authors who have … previously asserted that either no relation exists between monopsony and monopoly, or who have relied upon additional assumptions …
Persistent link: https://www.econbiz.de/10012955779
We show that a manager who has to pick a variety at a store without being able to choose the price of products on the horizontally differentiated market with positive fixed costs of offering each product will always under-provide variety. Using the information on sales and availability of vodka...
Persistent link: https://www.econbiz.de/10012961219
according to steel type and there is a dominant steel producer acting as a monopoly in the market. Due to barriers to entry in … the short run and the dominant market position of the monopoly, price elasticity became more demand inelastic. However …
Persistent link: https://www.econbiz.de/10012895236
We explain why a durable-goods monopolist would like to create a shortage in the marketplace.We argue that this incentive arises from the presence of a second-hand market and uncertainty about consumers' willingness to pay for the good. Consumers are heterogeneous in their valuations. Moreover,...
Persistent link: https://www.econbiz.de/10012940488