The digital transformation of media ecosystems, characterised by algorithmic curation, platform monopolies, and AI-generated content, poses unprecedented challenges to liberal democracies. This paper develops an updated ordoliberal framework to identify four systemic risks: (1) erosion of...

Die Digitalisierung führt zu einer anhaltenden Transformation des Medienökosystems. Die globale Macht von Plattformmonopolen und die zunehmende Bedeutung von künstlicher Intelligenz sind nur zwei Beispiele für die Notwendigkeit eines Updates der Medienökonomik. Wichtige Ziele sind der...

This paper considers a delegation game between one multi-input firm and one single-input firm engaging in Cournot competition in the downstream market. Both firms purchase a standard input from a core input supplier, and the multi-input firm also needs a supplementary input provided by an...

Questions about market power have become salient in macroeconomics. We consider the role of institutional structures in addressing these within a dynamic general equilibrium framework. Standard models account for monopoly profits as a lump-sum transfer to the representative agent. We label this...

Privacy regulations like the General Data Protection Regulation aim to empower consumers with greater transparency and control over their personal data. In response, firms may exercise price discrimination in the form of versioning. This paper studies how these two aspects of privacy regulation...

Die Infrastruktur der deutschen Autobahnen ist von zentraler Bedeutung für den Wirtschafts-verkehr, den Tourismus und die Mobilität der Bürgerinnen und Bürger. Ein zentraler Bestandteil dieser Infrastruktur sind Haltepunkte entlang der Fernstraßen. Autobahnraststätten und Autohöfe dienen...

This article bridges monopoly, monopsony, and countervailing power theories to analyze their welfare implications in a vertical supply chain. We develop a bilateral monopoly model with bargaining that accommodates upstream monopsony and downstream monopoly power. In equilibrium, the...

This study investigates how government policies affect the market environment and enterprise practices. We conduct a quasi-natural experiment, with a treatment group based on enterprises' investment circumstances to examine the impact of the Fair Competition Review System (FCRS) on enterprise...

Purpose of the article: A correct understanding of mechanisms governing the market is crucial for proper functioning of the labour market. The market structure phenomenon, so far most frequently described in the imperfect competition theory as a bilateral monopoly, occupies a unique position in...

I analyze a model of directed search in which a consumer inspects a finite number of products sharing attributes with each others. The consumer discovers her valuation for the attributes of the inspected products and adapts her search strategy based on what she has learned. The consumer...

A buyer wishes to purchase a durable good from a seller who in each period chooses a mechanism under limited commitment. The buyer's value is binary and fully persistent. We show that posted prices implement all equilibrium outcomes of an infinite-horizon, mechanism-selection game. Despite being...

We document and dissect a new stylized fact about firm growth: the shift from labor to intermediate inputs. This shift occurs in input quantities, cost and output shares, and output elasticities. We establish this fact using German firm-level data and replicate it in administrative firm data...

We document and dissect a new stylized fact about firm growth: the shift from labor to intermediate inputs. This shift occurs in input quantities, cost and output shares, and output elasticities. We establish this fact using German firm-level data and replicate it in administrative firm data...

Utilizing China's Fair Competition Review System (FCRS) as a quasi-natural experiment, our study explores the relationship between administrative monopoly regulation and firms' cross-regional resource allocation. By analyzing data from China's listed firms from 2009 to 2022, we find that the...

This study delves into a market characterized by vertical product differentiation. Product qualities are represented on a one-dimensional interval scale. The research investigates the equilibrium within a monopoly scenario, considering a production cost that is strictly convex. The monopoly...

Labor economics often assumes that wages w are equal to the marginal revenue product of labor MRP L. However, recent literature has shown that firms' market power allows them to pay wages substantially below marginal productivity. The markdown (MRP L - w)/w is our preferred measure of firms'...

In this paper, I explore the relationship between wage bargaining and capital accumulation by developing a differential game in which a monopolistic union sets the wage of its members by taking as given the optimal employment strategy of a representative firm and the way in which capital is...