Huang, Rui; Perloff, Jeffrey M. - Agricultural and Applied Economics Association - AAEA - 2007
status as a spillover effect. A firm will submit an extremely low bid because the WIC contract winner brand gains substantial … hypothesis and estimate the magnitude of the spillover effect. Methodology Our theory is based on three important characteristics … stores. We show that with a large spillover effect, a firm is willing to bid more aggressively so as to be able to charge …