We introduce a theory of return-seeking firms to study the differences between this and profit-maximising models. A return-seeking objective takes into account the opportunity cost of each additional resource input to a firm's production as being a potential capital input choice in an...

Something old and important is lost sight of in a case like Ohio v. American Express, the Supreme Court's recent adoption of "platform" or "two-sided market" theory in American antitrust, and in theoretical efforts like the one on which it is based. A rarely discussed idea built in to American...

This paper undertakes a critical review of the prospect that self-learning pricing algorithms will lead to widespread collusion independently of the intervention and participation of humans. There is no concrete evidence, no example yet, and no antitrust case that self-learning pricing...

Some legal academics have claimed that ‘machine collusion’ – tacit collusion generated by self-learning pricing algorithms without human involvement - is a real threat that will go uncheck by current antitrust. Half a decade after these claims received wide publicity the only evidence are...

This paper studies how product differentiation affects substitution patterns and firms' markups in oligopolistic markets where products are differentiated over multiple attributes and consumers have linear-quadratic preferences. Under these assumptions, the cross-price elasticity between any two...

Software market is considered as a new object for the mathematical economics. A statistical study of the server operating systems market is provided, static and dynamic models of for-profit and non-for-profit software developers mixed duopoly are built (taking into account market growth,...

The paper seeks to integrate the theoretical developments in the field of imperfect competition and monopoly, and operation of the firm in such conditions, with the theories of income distribution, particularly among the macroeconomic aggregates of capital and labor. And formulating a working...

This article tests the modell of Brander and lewis under ertrand and Cournot competition.

Brander and Lewis argue in a seminal paper (AER, 1986) that a firm's debt-equity ratio should have important strategic effects on product market competition. We test their model in a duopoly experiment under both, Bertrand and Cournot competition. We find that leverage has strategic effects, but...

Brander and Lewis argue in a seminal paper (AER, 1986) that a firm's debt-equity ratio should have important strategic effects on product market competition. We test their model in a duopoly experiment under both, Bertrand and Cournot competition. We find that leverage has strategic effects, but...