We study whether advertising subsidizes consumers newspapers, prices. Using a model representingthe two-sided network effects between the advertising and printed media industries, we show that theanswer should be nuanced according to the readership,s attitude toward advertising.

We analyze competition between two private television channels that derive their profits from advertising receipts. These profits are shown to be proportional to total population advertising attendance. The channels play a sequential game in which they first select their profiles (program mixes)...

"In a model where a monopolistic downstream firm (assembler) negotiates simultaneously with each of its "n" subcontractors the prices of the complementary components which enter its product, we show that backward integration is limited by a strategic negative effect: the prices and profits of...

We analyze a two country-two good model of international trade in which citizens in each country differ by their specific factor endowments. The trade policy in each country is set by the politician who has been elected by the citizens in a previous stage. Due to a delegation effect citizens...

We develop a simple two country model of international trade that assumes that there is a fixed cost of doing international trade. We show that this leads to multiple equilibria that can be Pareto-ranked. We examine the stability properties of these equilibria.

In a model where a monopolistic downstream firm (assembler) negotiates simultaneously with each of its intermediate-input suppliers the prices of the complementary components which enter its product, we analyze the process by which the assembler separates from its suppliers as a Markov Perfect...