Asymmetries in cross-price elasticities have been demonstrated by several empirical studies. In this paper we study from a theoretical stance how introducing asymmetry in the substitution effects influences the sustainability of collusion. We characterize the equilibrium of a linear Cournot...

In this paper we study a duopoly where the network effect is nonmonotone and the network can be overloaded. The firms choose prices and locations endogenously, and the agent's utility is influenced by the number of people patronizing the same firm she does. We determine the market equilibrium,...

The debate on tobacco taxes and fat taxes often treats smoking and eating as independent behaviors. However, since there exists medical and sociological evidence about the interdependence between eating and smoking choices, antismoking policies may also affect the obesity prevalence and fat...

Policy interventions aimed at affecting a specific behavior may also indirectly affect individual choices in other domains. In this paper we study the direct effect of tobacco excise taxes and smoking bans on smoking behavior, and the indirect effect on eating behavior and body weight. Using...