A comparison of auctions and multilateral negotiations.
We compare first-price auctions to an exchange process that we term
"multilateral negotiations." In multilateral negotiations, a
buyer solicits price offers for a homogeneous product from sellers . . .
Using auctions to reward tournament winners: theory and
experimental investigations.
This article explores theoretical and experimental implications of
using auctions to reward winners of research tournaments. This process
is a hybrid of the research tournament for a prize and a . . .
Multipollutant markets.(Statistical Data Included)
I study the optimal design of marketable permit systems to regulate
various pollutants (e.g., air pollution in urban areas) when the
regulator lives in a real world of imperfect information and . . .
R&D networks.(research and development)
We develop a model of strategic networks that captures two
distinctive features of interfirm collaboration: bilateral agreements
and nonexclusive relationships. Our analysis highlights the . . .
On the dynamics of standards.
I study a two-parameter family of rules governing the process of
entry into a club. There are three types of agent: candidates desire to
enter the club; judges vote on who should enter; elite are . . .
"Rip-off" ATM surcharges.
We develop a spatial model in which we endogenize both the pricing
of ATM services by banks and the choice of home bank and ATM use by
consumers. The equilibrium delivers the empirical . . .
Learning by doing and dynamic regulation.
From experience, regulated monopolists learn to employ
cost-reducing innovations. We characterize the optimal regulation of an
innovating monopolist with unknown costs. Regulatory policy is . . .
Collateral versus project screening: a model of lazy
banks.(Statistical Data Included)
Many economists argue that the primary economic function of banks
is to provide cheap credit, and to facilitate this function, they
advocate the strict protection of creditor rights. But banks can . . .
Information and the market for lemons.
This article revisits Akerlof's (1970) classic
adverse-selection market and asks the following question: do greater
information asymmetries reduce the gains from trade? Perhaps
surprisingly, the . . .
Durable-goods monopoly with stochastic values.(consumer values
variability model)(Statistical Data Included)
I analyze a durable-goods model that allows consumers' values
to vary over time. The optimal mechanism for a monopolist is computed
and compared to both the sales and leasing equilibria. I show . . .
Sticky prices, inventories, and market power in wholesale
gasoline markets.
A model with costly adjustment of production and costly inventories
implies that wholesale gasoline prices will respond with a lag to crude
oil cost shocks. Unlike explanations that rely upon menu . . .
Firm survival and the evolution of oligopoly.
After their commercial introduction, the number of producers of
automobiles, tires, televisions, and penicillin initially grew and then
experienced a sharp decline or shakeout. Guided by an . . .
Were the acquisitive conglomerates inefficient?(Statistical Data
Included)
This article challenges the conventional wisdom that the 1960s
conglomerates were inefficient. I offer valuation results consistent
with recent event-study evidence that markets typically . . .
On vertical mergers and their competitive effects.
It is well known that vertical integration can change the pricing
incentive of an upstream producer. However, it has not been noticed that
vertical integration may also change the pricing incentive . . .
Competitive price discrimination.(Statistical Data
Included)
We model firms as supplying utility directly to consumers. The
equilibrium outcome of competition in utility space depends on the
relationship [pi](u) between profit and average utility per . . .
The 1.5th mover advantage.
There has been much discussion about the timing of moves in games.
However, one assumption usually goes unquestioned, namely, that of an
irrevocable commitment of the first mover In many cases this . . .
Pricing and R&D when consumption affects longevity.
We analyze goods for which the amount of consumption determines the
duration of consumption, focusing on health-related consumption that
affects longevity. The characteristics of the demand for . . .
Prices and the winner's curse.
We usually assume that increases in supply, allocation by
rationing, and exclusion of potential buyers reduce prices. But all
these activities raise the expected price in an important set of . . .
Bar codes lead to frequent deliveries and
superstores.(Statistical Data Included)
This article explores the consequences of new information
technologies, such as bar codes and computer tracking of inventories,
for the optimal organization of retail. The first result is that . . .
Spatial competition in the network television
industry.(Statistical Data Included)
We present an empirical study of spatial competition and a
methodology to estimate demand for products with unobservable
characteristics. Using panel data, we estimate a discrete-choice model
with . . .
|
|