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...

Asymmetries in cross-price elasticities have been demonstrated by several empirical studies, but received little attention by the theoretical literature. In this paper we study from a theoretical stance how introducing asymmetry in the substitution effects influences the sustainability of...