Showing 1 - 10 of 1,072
This paper presents an examination of whether an antitrust authority should prohibit a quantity-setting duopolists' semi-collusive production cartel after noncooperative quality-improving R&D. Results show that values of the technological spillover and product differentiation parameters exist...
Persistent link: https://www.econbiz.de/10014164174
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We investigate the effect of a ban on third-degree price discrimination on the sustainability of collusion. We build a …' discount factor has to be higher in order to sustain collusion in grim-trigger strategies under price discrimination than under …
Persistent link: https://www.econbiz.de/10011434582
difference in average total outputs across data aggregation and information settings. However, we observe more collusion when …
Persistent link: https://www.econbiz.de/10010530643
This paper studies the effect of forward contracts on the stability of collusion among firms, competing in supply … functions on the spot market. A forward market can increase the range of discount factors which allow to sustain collusion. On … the contrary, collusion is destabilised when a potential deviator sells a significant amount forward. Results do not …
Persistent link: https://www.econbiz.de/10011968922
from a theoretical stance how introducing asymmetry in the substitution effects influences the sustainability of collusion … which are asymmetric in magnitude. Within this framework, we study partial collusion using Friedman (1971) solution concept …. Our main result shows that the interval of quantities supporting collusion in the asymmetric setting is always smaller …
Persistent link: https://www.econbiz.de/10011737876
We investigate the possibility for two vertically related firms to at least partially collude on the wholesale price over an in.nite horizon to mitigate or eliminate the e¤ects of double marginalisation, thereby avoiding contracts which might not be enforceable. We characterise alternative...
Persistent link: https://www.econbiz.de/10011674459
We analyze spying out a rival's price in a Bertrand market game with incomplete information. Spying transforms a simultaneous into a robust sequential moves game. We provide conditions for profitable espionage. The spied at firm may attempt to immunize against spying by delaying its pricing...
Persistent link: https://www.econbiz.de/10011962353
information, our data confirm the well-known result that duopoly players achieve, on average, partial collusion. However, as soon …
Persistent link: https://www.econbiz.de/10013295651
and cost asymmetry. A dynamic collusion game is constructed, and backward induction is employed to solve the subgame … downstream collusion when the cost asymmetry is large and network externalities are relatively weak. …
Persistent link: https://www.econbiz.de/10014422321