Forward trading and collusion in oligopoly

• 成果类型: Article
• 署名作者: Liski, Matti; Montero, Juan-Pablo
• 署名单位: Aalto University; Pontificia Universidad Catolica de Chile
• 刊物名称: JOURNAL OF ECONOMIC THEORY
• ISSN/ISSBN: 0022-0531
• DOI: 10.1016/j.jet.2005.05.002
• 发表日期: 2006
• 页码: 212-230
• 关键词: forward markets; Cournot competition; Bertrand competition; collusion

摘要

We consider an infinitely repeated oligopoly in which at each period firms not only serve the spot market by either competing in prices or quantities but also have the opportunity to trade forward contracts. Contrary to the pro-competitive results of finite-horizon models, we find that the possibility of forward trading allows firms to sustain collusive profits that otherwise would not be possible to achieve. The result holds both for price and quantity competition and follows because (collusive) contracting of future sales is more effective in deterring deviations from the collusive plan than inducing the previously identified pro-competitive effects. (c) 2005 Elsevier Inc. All rights reserved.