Information Sharing in Oligopoly
Author: Yong Jin
Publisher:
Published: 1992
Total Pages: 42
ISBN-13:
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Author: Yong Jin
Publisher:
Published: 1992
Total Pages: 42
ISBN-13:
DOWNLOAD EBOOKAuthor: Yong Jin
Publisher:
Published: 1992
Total Pages: 58
ISBN-13:
DOWNLOAD EBOOKAuthor: Michael A. Raith
Publisher:
Published: 1993
Total Pages: 52
ISBN-13:
DOWNLOAD EBOOKAuthor: Sergio Currarini
Publisher:
Published: 2012
Total Pages: 35
ISBN-13:
DOWNLOAD EBOOKWe study the incentives of oligopolistic firms to share private information on demand parameters. Differently from previous studies, we consider bilateral sharing agreements, by which firms commit at the ex-ante stage to truthfully share information. We show that if signals are i.i.d., then pairwise stable networks of sharing agreements are either empty or made of fully connected components of increasing size. When linking is costly, non complete components may emerge, and components with larger size are less densly connected than components with smaller size. When signals have different variances, incomplete and irregular network can be stable, with firms observing high variance signals acting as quot;critical nodesquot;. Finally, when signals are correlated, the empty network may not be pairwise stable when the number of firms and/or correlation are large enough.
Author: Sergio Currarini
Publisher:
Published: 2007
Total Pages: 20
ISBN-13:
DOWNLOAD EBOOKAuthor: David P. Byrne
Publisher:
Published: 2023
Total Pages: 0
ISBN-13:
DOWNLOAD EBOOKUsing a natural experiment from a retail gasoline antitrust case, we study how asymmetric information sharing affects oligopoly pricing. Empirically, price competition softens when, following case settlement, information sharing shifts from symmetric to asymmetric, with one firm losing access to high-frequency, granular rival price data. We provide theory and empirics illustrating how strategic ignorance creates price commitment, leading to higher price-cost margins. Using a structural model, we quantify the impact of asymmetric information sharing on firms' profits, finding substantial profit-enhancing effects. These results provide a cautionary tale for antitrust agencies regarding the potential unintended consequences of limiting price information sharing.
Author: Brent Hueth
Publisher:
Published: 2002
Total Pages: 16
ISBN-13:
DOWNLOAD EBOOKAuthor:
Publisher:
Published: 2008
Total Pages: 34
ISBN-13:
DOWNLOAD EBOOKAuthor: Juan-José Ganuza
Publisher:
Published: 2013
Total Pages: 0
ISBN-13:
DOWNLOAD EBOOKBy using general information structures and precision criteria based on the dispersion of conditional expectations, we study how oligopolists' information acquisition decisions may change the effects of information sharing on the consumer surplus. Sharing information about individual cost parameters gives the following trade-off in Cournot oligopoly. On the one hand, it decreases the expected consumer surplus for a given information precision, as the literature shows. On the other hand, information sharing increases the firms' incentives to acquire information, and the consumer surplus increases in the precision of the firms' information. Interestingly, the latter effect may dominate the former effect.
Author: Bipasa Datta
Publisher:
Published: 1999
Total Pages: 28
ISBN-13:
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