Multicollinearity is a serious problem in applied regression analysis. Q. Paris (2001) introduced the MEL estimator to resolve the multicollinearity problem. This paper improves the MEL estimator to the Modular MEL (MMEL) estimator and shows by Monte Carlo experiments that MMEL estimator...

We study the nature of market competition in relation to stability of collusion in the infinitely repeated play of a two-stage game of product innovation and market competition, and show that cooperation in giving R&D efforts is more easily sustained when firms compete in quantity than in price.