The recent 'open-economy industrial organization' literature generally finds export-orientation to enhance the weight of post-merger international competitive gains; thereby, favoring lenient domestic merger policy. We observe, however, that mergers seldom generate the 'significant synergies'...

This article calculates conduct parameters (or "conjectural variations") for a set of duopoly airline routes. We estimate the mean conduct parameter for each airline and draw inferences about whether Bertrand, Cournot, or cartel models are supported by the data. Some sensitivity analysis with...

This paper examines the effect of the change of state shares in a state-owned enterprise (SOE) on the efficiency of the whole society and the payoff of the government. This issue is addressed by setting up a mixed oligopolistic competition model and dividing the analysis into two cases: closed...

The usual approach to intra-industry trade is to assume such trade arises because slightly different commodities are produced and traded to satisfy consumers' tastes for variety. This paper shows there are reasons to expect two-way trade even in identical products, due to strategic interaction...

This paper develops a model where rivalry of oligopolistic firms serves as an independent cause of international trade. The model shows how such rivalry naturally gives rise to "dumping" of output in foreign markets, and show such dumping can be reciprocal -- there may be two-way trade in the...