This paper studies competition between a small number of suppliers and a single buyer, (or an auction with a small number of bidders and a single seller) when total demand (supply) is uncertain. It is well known that when a small number of suppliers compete in supply functions the service is not...

This paper is inspired by the ever lasting discussions over Bertrand's (1883) price-deviation critique of Cournot's (1838) duopoly analysis. We consider a homogenous good duopoly with constant marginal costs and no capacity constraints, but we allow firms to set either a quantity, a price, or...

This paper uses a two-dimensional version of a standard common consequence experiment to test the intransitivity explanation of Allais-paradox-type violations of expected utility theory. We compare the common consequence effect of two choice problems differing only with respect to whether...

This paper studies the allocation and rent distribution between buyers and the seller in multiple units sealed-bid auctions. We restrict attention to the complete information case. A simple diagrammatic exposition of equilibria in the first-price and uniform-price auctions is provided and their...

This paper studies decentralized exchange by bilateral matching and bargaining when resale is possible. Decentralized exchange involves the risk that goods and services may be allocated inefficiently; if low valuation buyers consume while high valuation buyers do not then social welfare is...

We show how different competitive regimes affect the ability to provide incentives based on noisy information systems. Reduced competition facilitates incentive provision. This may rationalize both vertical integration and horizontal integration as seen in many agricultural markets with...

We investigate the problem of selecting capital investments in an organizational context with asymmetric information. In a principal-agent model where a manager (agent) has superior information about the investment costs of n available mutually exclusive projects, we develop the owner´s...

Modern agricultural marketing cooperatives must implement farm-level differentiation to meet requirements from high-quality market segments, e.g. consumers focusing on animal welfare. This makes the cooperatives internally heterogeneous and increases the influence costs. In particular, the...

Multi-period multi-product regulatory schemes for electricity distributors are presented, based on cost information from a productivity analysis model and an agency theoretical decision model. The proposed schemes are operational and demonstrate considerable advantages compared to the popular...

In this paper, we discuss the pros and cons of using Data Envelopment Analysis (DEA) to evaluate and enhance the efficiency of natural resource management. The need for a multi-dimensional production frontier approach is sketched, along with examples from other regulated multi-output industries....