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This Paper studies the private incentives and the social effects of horizontal mergers among risk-averse firms. In our model, merging firms are allowed to choose how to split their joint profits, with implications for risk sharing and strategic behaviour in the product market. If firms compete...
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Abstract Ernst Ulrich von Weizsäcker holds the view that the trouble with the energy- environment debate is that it typically circles around different modes of supplies with their respective environmental drawbacks. Rising demand for energy tends to be seen as an indisputable given. The fact...
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