Showing 1 - 10 of 642,531
This paper examines the effect of private label sold by one of two retailers (the “chain store”) on wholesale prices in the intermediate goods market. Under sym- metric retail costs, the chain store can make the wholesale price lower than its rival (the “local store”) when the private...
Persistent link: https://www.econbiz.de/10013251587
Persistent link: https://www.econbiz.de/10011776128
Price markups over marginal cost are often higher on "aftermarket" parts and services for durable goods than they are on the goods themselves. A popular explanation is that the aftermarket good is used as a "metering" device. This paper explores what happens in the metering model as foremarket...
Persistent link: https://www.econbiz.de/10014035990
Whether input suppliers charge customized (discriminatory) or industry-wide (uniform) prices affects downstream manufacturers' incentives to innovate. This paper investigates the implications of input price discrimination when an upstream monopolist commits to prices before downstream firms make...
Persistent link: https://www.econbiz.de/10013290944
determines loan sizes and interest rates simultaneously. A competitive, and a discriminating monopoly version of the model are … discriminating monopoly maximizes profitsunder a borrower participation constraint, reflecting the availability of a rental market as … monopoly model estimates show that the borrowers' price-elasticity of demand for housing varies with occupational status, and …
Persistent link: https://www.econbiz.de/10011410245
This paper develops an equilibrium model of vertical foreclosure with the choice of input specifications. In this model, vertical foreclosure occurs as the upstream division of the integrated firm makes a specialized input for its sister downstream division while it would, as an independent...
Persistent link: https://www.econbiz.de/10014071627
The two central pricing rules contained in most antirust laws are prohibitions of below-cost pricing and prohibitions of discriminatory pricing. This article shows that the rule against discriminatory pricing may actually induce firms to charge exclusionary below-cost prices, even in the...
Persistent link: https://www.econbiz.de/10013104272
monopolist has incomplete information and cannot implement the monopoly outcome: The expected pre-merger equilibrium price of the … downstream product is lower than the monopoly price. After a vertical merger, the equilibrium input price that is charged to the …, respectively. However, in all cases the equilibrium price of the downstream product increases to the monopoly price. Therefore, the …
Persistent link: https://www.econbiz.de/10013223455
inframarginal fans' utility. In some cases, the monopoly outcome is optimal, while in others the optimum league size is between the … competitive and monopoly solutions …
Persistent link: https://www.econbiz.de/10013319601
Mainstream monopoly theory and as related to anti-trust measures evaluates the concentration of an industry to … determine if a firm has monopoly power within an industry (Cabral 2000 [2017]). If a firm is dominant within an industry, then … measures the firm has a monopoly in venues and ticketing for live events. However, these results are arbitrary in that the …
Persistent link: https://www.econbiz.de/10014348779