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This paper analyzes dynamic cartel formation and antitrust enforcement when firms operate in demand-related markets. We … show that cartel prosecution can have a knock-on effect: desisting a cartel in one market reduces profits and cartel … stability and leads to the break-up of the cartel in the adjacent market. Cartel prosecution can also have a waterbed effect …
Persistent link: https://www.econbiz.de/10003850139
With the use of a laboratory experiment, we show the effects of co-investments on coverage, competition and price collusion in regulated network industries. On the one hand, co-investments turn out not to be a significant driver of new infrastructure investments beyond the level achieved by...
Persistent link: https://www.econbiz.de/10009574072
In the context of an infinitely repeated Prisoners.Dilemma, we explore how cooperation is initiated when players signal and coordinate through their actions. There are two types of players - patient and impatient - and a player's type is private information. An impatient type is incapable of...
Persistent link: https://www.econbiz.de/10009486361
Retailers may enjoy stable cartel rents in their output market through the formation of a buyer group in their input … or rebates. The stability of such an "implied cartel" depends on the retailers' incentives to secretly source from a …
Persistent link: https://www.econbiz.de/10009631585
Persistent link: https://www.econbiz.de/10010191415
The objective of this paper is to investigate the impact of R&D cooperation on cartel formation in the product market … the incentives to create a cartel in the product market. …
Persistent link: https://www.econbiz.de/10009782017
The paper focuses on the various methods used to quantify cartel damages, which have become more and more important as … legal environments with regards to the estimation approaches being used for quantification of cartel damages. The direct …
Persistent link: https://www.econbiz.de/10010230329
cartelized industry. This paper endogenizes the process of cartel formation in a numeric simulation model where firms differ in … empirical methods used in the detection of cartels. -- Collusion ; Cartel Detection ; Cartel Formation ; Differential Evolution …
Persistent link: https://www.econbiz.de/10003950512
There are well-documented episodes for which prices remained at supracompetitive levels even after a cartel had been …. As part of the penalty imposed by the competition authority, each cartel member is required to distribute coupons to its …
Persistent link: https://www.econbiz.de/10014347659
Alternative market structures are distinguishable by the degree of parallel action exhibited by producers. We show that the correlation between output levels varies systematically with the degree of interdependence among firms, and establish an ordering among alternative behavioral hypotheses...
Persistent link: https://www.econbiz.de/10012739733