This study examines the roles of scale effects and economies and diseconomies of scope in determining the direction and extent of quality upgrading in a quota-constrained market. A model of joint production of two outputs is developed. It is shown that the quality upgrading phenomena in...

We examine the strategies of multiproduct plants in the Taiwanese electronics sector by introducing two new measures of product dissimilarity to capture the technological gaps of product pairs within the plant. The plant-level index is used to analyze product mix decisions of plants. We find...