When the threat is stronger than the execution: trade and welfare under oligopoly.
We compare the effects of changes in trade costs on trade volumes and on the gains from trade under Cournot and Bertrand competition. In both cases, the threshold trade costs below which the possibility of trade affects the domestic firm's behavior is the same; and welfare is U‐shaped under reasonab...
| Publicado en: | RAND Journal of Economics (Wiley-Blackwell) Vol. 52; no. 3; pp. 471 - 496 |
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| Autores principales: | , |
| Formato: | Artículo |
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Wiley-Blackwell
Sep2021
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| Acceso en línea: | Ver este registro en EBSCOhost |
| fields | @attributes: recordID: 1 pdfLink: plink: https://search.ebscohost.com/login.aspx?direct=true&db=ssf&AN=152513495&site=ehost-live header: @attributes: shortDbName: ssf uiTerm: 152513495 longDbName: Social Sciences Full Text (H.W. Wilson) uiTag: AN controlInfo: bkinfo: jinfo: jid: 07416261 56RJ jtl: RAND Journal of Economics (Wiley-Blackwell) issn: 07416261 maglogo: Y pubinfo: dt: Sep2021 vid: 52 iid: 3 pid: 480 pub: Wiley-Blackwell artinfo: ui: 152513495 10.1111/1756-2171.12380 ppf: 471 ppct: 25 formats: fmt: – @attributes: type: T – @attributes: type: C – @attributes: type: P size: 738KB tig: atl: When the threat is stronger than the execution: trade and welfare under oligopoly. aug: au: Leahy, Dermot Neary, J. Peter affil: National University of Ireland Maynooth University of Oxford su: Oligopolies Cost Possibility sug: subj: Oligopolies Cost Possibility ab: We compare the effects of changes in trade costs on trade volumes and on the gains from trade under Cournot and Bertrand competition. In both cases, the threshold trade costs below which the possibility of trade affects the domestic firm's behavior is the same; and welfare is U‐shaped under reasonable conditions. However, welfare is typically greater under Bertrand competition; for higher trade costs the volume of trade is greater under Cournot competition, implying a "van‐der‐Rohe Region"; and, for even higher trade costs, there exists a "Nimzowitsch Region", where welfare is higher under Bertrand competition even though no trade takes place. pubtype: Academic Journal doctype: Article src: R language: English refInfo: copyright: @attributes: flag: N holdings: @attributes: islocal: N |
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