marketstructureuncertaintyWe propose a generic oligopsony-oligopoly model to study bank behavior under uncer-tainty in developing countries. We derive a pricing structure that acknowledges market power in both the deposit and loan markets and identify two theoretical components to the loan rate: a ...
2 Allocative Efficiency: MC = Market Price Oligopoly Profit = (Price − ATC)× QuantityAlthough there are many major industries dominated by oligopolies, there are rarely prosecuted under antitrust laws. However, there are several factors that limit the pricing power of oligopolies, including forei...
With deregulation of these utilities, the market becomes open to competition for market share to begin. In terms of regulation of monopoly, the government attempts to prevent operations that are against the public interest, call anti-competitive practices. Likewise, oligopoly is a market condition ...
Fourth, greening innovation effort, special advertising quality, price and profit of a firm are higher under the duopoly market setting than the oligopoly one. In contrast, when all the firms adopt the same strategies, the consumer surplus remains higher under oligopolistic competition than the duo...
What is price rigidity under oligopoly? How do barriers to entry create market power? Describe the role of prices in competitive market economies. How can pricing serve as a means of strategy or as a competitive tool with buyers? What are the pricing and non-pricing strategies monopolies use ...
It explains price competition by arguing that a market price goes down if—and only if—a price cut appears profitable to a firm even if its competitors follow suit. It also explains why markets do not always clear, that is, why production can be restricted by sales and not capacity at ...
market transparency leads to a higher intensity of competition (Cao and Gruca2003), limiting the market power of established firms and leaving growth potential for smaller firms (Zhao et al.2017), it appears reasonable to predict that most online markets will ultimately resemble an oligopoly ...
Price discrimination in oligopoly: evidence from regional newspapers J. Ind. Econ., 56 (2) (2008), pp. 333-346 CrossrefView in ScopusGoogle Scholar Belleflamme et al., 2020 P. Belleflamme, W.M.W. Lam, W. Vergote Competitive imperfect price discrimination and market power Mark. Sci., ...
The world market for large passenger jet airplanes is an oligopoly dominated by Boeing in the United States and Airbus in Europe. a. Explain why the market equilibrium might involve either a low price for airplanes or a high price for airplanes. b. From ...
Platforms play an essential role in the modern economy. At the same time, due to advances in artificial intelligence (AI), algorithms are becoming more wid