This paper provides a simple reduced-form framework for analyzing merger decisions in the presence of asymmetric information about firm types, building on Shapiro's (1986) oligopoly model with asymmetric information about marginal costs. We employ this framework to examine what types of firms...

We analyze a Bayesian merger game under two-sided asymmetric information about firm types. We show that the standard prediction of the lemons market model-if any, only low-type firms are traded-is likely to be misleading: Merger returns, i.e. the difference between pre- and post-merger profits,...

We provide a framework for analyzing bilateral mergers when there is two-sided asymmetric information about firms' types. We show that there is always a no-merger equilibrium where firms do not consent to a merger, irrespective of their type. There may also be a cut-off equilibrium if the...

We examine the interplay of endogenous vertical integration and costreducing downstream investment in successive oligopoly. We start from a linear Cournot model to motivate our more general reducedform framework. For this general framework, we establish the following main results: First,...

Die vorliegende Dissertation besteht aus vier Kapiteln. Das erste Kapitel zeigt unter Verwendung von Schweizer Firmendaten, dass eine Senkung von Handelsbarrieren zwischen der Schweiz und der Europäischen Union zu Unternehmen führt, die einen geringeren Grad an vertikaler Integration...

We examine the interplay of endogenous vertical integration and cost-reducing downstream investment in successive oligopoly. We start from a linear Cournot model to motivate our more general reduced-form framework. For this general framework, we establish the following main results: First,...

This paper reconsiders a widely used game of coalition formation in international environmental negotiations. Due to the mathematical problems of giving a full characterization of the solution, up to now most of the work on this subject rested on numerical simulations to derive results. In this...

This paper reconsiders a widely used game of coalition formation in international environmental negotiations. Due to the mathematical problems of giving a full characterization of the solution, up to now most of the work on this subject rested on numerical simulations to derive results. In this...

This paper provides a simple unified discrete-choice framework for analyzing differentiated duopolies. This framework nests models of horizontal and vertical differentiation, including standard textbook models (Hotelling and Shaked-Sutton). Contrary to these models, it also applies to economic...