This paper presents results from a laboratory experiment on the channels through which different law enforcement … strategies deter cartel formation. With leniency policies offering immunity to the first reporting party a high fine is the main …

This paper analyzes the effects of network positions and individual risk attitudes on individuals' strategic decisions … in an experiment where actions are strategic substitutes. The game theoretic basis for our experiment is the model of … factors, such as the number of (direct) neighbors, local clustering and individuals' risk attitudes. …

of cartel deterrence, but the firms’ limited ability to pay does not appear any longer such a strong argument for their …

Emission taxes under oligopoly with both fixed number and endogenous market structure (perhaps the most relevant market … optimal tax could exceed marginal external damages, which implies that externalities generated by oligopolistic firms could be …

application is to compare takeover incentives in a differentiated Cournot and Bertrand oligopoly model with linear demand and …

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 … improved risk sharing. Mergers involving few firms are then profitable with a relatively small level of risk aversion. With …

externalities. We show that the hold-up problem, which occurs if non-verifiable investments have external effects and parties cannot …