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作者：Kuehn, Joseph
摘要：I study why local banking markets became dominated by multimarket firms following deregulation in the 1990s. I estimate a model of branch entry that allows for spillovers across markets. The spillovers complicate estimation, and so I develop a revealed preference approach that also deals with unobserved firm and market heterogeneity. I then analyze the impact of multimarket banks and find that they increase local competition, but that they also open more branches than single-market firms, and ...
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作者：Chen, Yongmin; Sappington, David E. M.
作者单位：University of Colorado System; University of Colorado Boulder; State University System of Florida; University of Florida
摘要：We analyze the optimal design of damages for patent infringement when a follow-on innovator may infringe the patent of an initial innovator. We consider damage rules that are linear combinations of the popular lost profit (LP) and unjust enrichment (UE) rules, coupled with a lump-sum transfer between innovators. Such linear rules can sometimes induce the socially optimal levels of sequential innovation and the optimal allocation of industry output. The optimal linear rule achieves the highest ...
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作者：Holmberg, Par; Wolak, Frank A.
作者单位：University of Cambridge; University of Cambridge; Stanford University
摘要：We analyze how market design influences bidding in multiunit procurement auctions where suppliers have asymmetric information about production costs. Our analysis is particularly relevant to wholesale electricity markets, because it accounts for the risk that a supplier is pivotal; market demand is larger than the total production capacity of its competitors. With constant marginal costs, expected welfare improves if the auctioneer restricts offers to be flat. We identify circumstances where t...
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作者：Chen, Ying-Ju; Zenou, Yves; Zhou, Junjie
作者单位：Hong Kong University of Science & Technology; Monash University; National University of Singapore
摘要：We study pricing strategies of competing firms selling heterogeneous products to consumers. Goods are substitutes and there are network externalities between neighboring consumers. In equilibrium, firms price discriminate based on the network positions and charge lower prices to more central consumers. We also show that, under some conditions, firms' equilibrium profits decrease when either the network becomes denser or network effects increase. In contrast, consumers always benefit from being...
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作者：Galasso, Alberto; Schankerman, Mark
作者单位：University of Toronto; National Bureau of Economic Research; University of London; London School Economics & Political Science; Center for Economic & Policy Research (CEPR)
摘要：We study the causal impact of patent invalidation on subsequent innovation and exit by patent holders. The analysis uses patent litigation data from the US Federal Circuit Court and exploits random allocation of judges to control for endogeneity of the decision. Invalidation causes patent holders to reduce patenting over a five-year window by 50% on average, but the effect is heterogeneous. The impact is large for small- and medium-sized firms, particularly where they face many large competito...
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作者：Braido, Luis H. B.; Ledo, Bruno C. A.
作者单位：Getulio Vargas Foundation; Universidade de Sao Paulo
摘要：We analyze Brazilian data on auto insurance and document that (a) about 20% of policies are sold without brokerage commission; (b) over 40% are sold at the highest fee allowed; and (c) the remaining contracts are associated with a spread-out distribution of fees. Static models cannot rationalize these findings. We develop a dynamic model of price competition with search and switching costs that reproduces them. We use the equilibrium structure to estimate the model parameters and infer the bro...
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作者：Rhodes, Andrew; Wilson, Chris M.
作者单位：Universite de Toulouse; Universite Toulouse 1 Capitole; Toulouse School of Economics; Loughborough University
摘要：There is widespread evidence that some firms use false advertising to overstate the value of their products. We consider a model in which a policy maker can punish such false claims. We characterize an equilibrium where false advertising actively influences rational buyers and analyze the effects of policy under different welfare objectives. We establish precise conditions where policy optimally permits a positive level of false advertising and show how these conditions vary intuitively with d...
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作者：Donna, Javier D.; Espin-Sanchez, Jose-Antonio
作者单位：University System of Ohio; Ohio State University; Yale University
摘要：We use data on sequential water auctions to estimate demand when units are complements or substitutes. A sequential English auction model determines the estimating structural equations. When units are complements, one bidder wins all units by paying a high price for the first unit, thus deterring others from bidding on subsequent units. When units are substitutes, different bidders win the units with positive probability, paying prices similar in magnitude. We recover individual demand consist...
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作者：Bijlsma, Michiel; Boone, Jan; Zwart, Gijsbert
作者单位：Tilburg University; CPB Netherlands Bureau for Economic Policy; University of Groningen
摘要：Perverse incentives for banks' traders have played a role in the financial crisis. We study how labor market competition interacts with the structure of compensation to result in excessive risk taking. In a model with trader moral hazard and adverse selection on trader abilities, we demonstrate how banks optimally induce top traders to take more risk as competition on the labor market intensifies, even if banks internalize the costs of negative outcomes. Distorting risk-taking incentives allow...
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作者：Johnson, Justin P.; Myatt, David P.
作者单位：Cornell University; University of London; London Business School
摘要：We study product line choice allowing for cost asymmetries but ruling out strategic motivations such as a desire to soften competition. We identify two forces that interact with asymmetric competition to shape equilibrium product lines. Possible outcomes range from head-to-head competition to complete separation of product lines and include the intermediate case of partial separation. In an international trade context, we predict which qualities a disadvantaged foreign producer will specialize...
