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game theory of the firm. A theoretical case for picking winners through a preferential innovative policy is discussed in a …
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We study the profitability incentives of merger and the endogenous industry structure in a strategic trade policy environment. Merger changes the strategic trade policy equlilibrium. We show that merger can be profitable and welfare enhancing here, even though it would not be profitable in a...
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firms where government subsidizes entry of domestic entrepreneurs. Under autarky the entry subsidy indirectly corrects for …
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