International Journal of Industrial Organization 16 (4):495-510 (1998)
|Abstract||Two questions are examined within a model of vertical differentiation. The first is whether cost-reducing innovations are more likely to be observed in regimes of more intense or less intense competition. Following Delbono and Denicolo (1990) and Bester and Petrakis (1993) we compare two identical industries that differ only in the regime of competition: Bertrand versus Cournot. Since Cournot competition leads to lower output and higher prices, it can be thought of as a regime of less intense competition. We find that the increase in profits associated with any given cost reduction is higher in the case of Cournot competition than in the case of Bertrand competition. Thus there are cost-reducing innovations that would be pursued under Cournot competition but not under Bertrand competition|
|Keywords||No keywords specified (fix it)|
No categories specified
(categorize this paper)
|Through your library||Configure|
Similar books and articles
Deborah Walker, Jerry W. Dauterive, Elyssa Schultz & Walter Block (2004). The Feminist Competition/Cooperation Dichotomy. Journal of Business Ethics 55 (3):243 - 254.
Steven Skultety (2011). Categories of Competition. Sport, Ethics and Philosophy 5 (4):433 - 446.
Jonathan Wolff (2009). Rational, Fair, and Reasonable. Utilitas 8 (03):263-.
Peter Dietsch (2010). The Market, Competition, and Equality. Politics, Philosophy and Economics 9 (2):213-244.
Thomas R. Alley (1982). Competition Theory, Evolution, and the Concept of an Ecological Niche. Acta Biotheoretica 31 (3).
Paul T. Menzel (1987). Economic Competition in Health Care: A Moral Assessment. Journal of Medicine and Philosophy 12 (1):63-84.
Douglas Allchin (1994). The Super Bowl and the Ox-Phos Controversy: "Winner-Take-All" Competition in Philosophy of Science. PSA: Proceedings of the Biennial Meeting of the Philosophy of Science Association 1994:22 - 33.
Added to index2009-01-28
Total downloads8 ( #131,640 of 722,703 )
Recent downloads (6 months)1 ( #60,247 of 722,703 )
How can I increase my downloads?