Do firms compete when demand is low? A Model of Spatial Differentiation

Chirco, Alessandra ; Lambertini, Luca (1994) Do firms compete when demand is low? A Model of Spatial Differentiation. DOI 10.6092/unibo/amsacta/807.
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Abstract

In a spatial competition model, changes in firms’ competitive behaviour may occur when the hypothesis that individual gross surplus is positive in equilibrium is relaxed. We prove that there exists a region of the relevant parameter where firms’ behaviour mimics collusion, while in another range they find it optimal to isolate from each other and behave monopolistically.

Abstract
Document type
Monograph (Working Paper)
Creators
CreatorsAffiliationORCID
Chirco, Alessandra
Lambertini, Luca
Keywords
market demand competitiveness spatial differentiation
Subjects
DOI
Deposit date
17 Jun 2004
Last modified
17 Feb 2016 14:05
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