I show that an advertising ban is more likely to increase -- rather than decrease -- total consumption when advertising … allowing firms to command higher prices). In this case, the main impact of a ban on advertising is to reduce equilibrium prices …--ante (i.e. without advertising) similar and advertising is of the `persuasive' type. The ban is the more likely to increase …

In this paper we consider a two-stage duopoly game where firms first decide whether to invest in advertising and then … compete in prices. Advertising has two effects: a market enlargement for both firms and a predatory gain for the investing … investment in advertising and that strong product substitutability may induce a coordination problem. …

I compare the outcome when firms semicollude on advertising to the outcome in the Grossman and Shapiro (1984) model of … informative advertising. I show that advertising is lower but prices and profits are higher under semicollusion on advertising. I … also show that semicollusion on advertising is detrimental to welfare. Although firms earn higher profits when colluding on …

In a three-stage duopoly game with product design at stage 1, advertising & marketing at stage 2, and price competition … at stage 3, advertising & marketing enable customers to distinguish the goods from each other thus relaxing price … cooperation implying more expenditure on advertising & marketing due to the specification of the model that both firms benefit …

This paper endogenizes both market transparency and product differentiation in a model of informative advertising á la …, differentiate their products more, charge higher prices and earn higher profits when the advertising cost is "not too low". This is … because endogenizing product differentiation relaxes price competition when the advertising cost is not too low. …