Brandão, António; Pinho, Joana; Vasconcelos, Hélder - In: Journal of Industry, Competition and Trade 14 (2014) 4, pp. 429-472
We characterize collusion sustainability in markets where demand growth triggers the entry of a new firm whose efficiency may be different from the efficiency of the incumbents. We find that the profit-sharing rule that firms adopt to divide the cartel profit after entry is a key determinant of...