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Industrial Competition
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Posts: 8
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When is Minimum and Maximum RPM Competitive?: Demand Uncertainty and Retailer Competition
https://d.repec.org/n?u=RePEc:osf:socarx:7tcha_v1&r=&r=com
Published: September 1, 2025 00:00
This paper analyzes how retailer competition affects the welfare implications of resale price maintenance (RPM) under demand uncertainty. We extend the classic model of Deneckere et al. (1997) by introducing imperfect competition among retailers, which…
Monopsony and employer misoptimization explain why wages bunch at round numbers
https://d.repec.org/n?u=RePEc:ehl:lserod:128487&r=&r=com
Published: August 31, 2025 00:00
We show that administrative hourly wage data exhibits considerable bunching at round numbers. We run two experiments, randomizing wages around 10 cents and $1.00, to experimentally measure left-digit bias for identical tasks on Amazon Mechanical Turk, and…
Private Ownership and Pricing: Evidence from the Swedish District Heating Sector
https://d.repec.org/n?u=RePEc:hhs:iuiwop:1532&r=&r=com
Published: August 15, 2025 00:00
I examine the pricing behavior of municipal and private firms in the unregulated Swedish district heating market, characterized by geographically bounded local monopoly networks. Conditional on exogenous cost factors, private firms charge on average seven…
Algorithmic Pricing and Competition: Balancing Efficiency and Consumer Welfare
https://d.repec.org/n?u=RePEc:cir:circah:2025pr-09&r=&r=com
Published: August 4, 2025 00:00
This article examines the competitive implications of algorithmic pricing in digital markets. While algorithmic pricing can enhance market efficiency through real-time adjustments, personalized offers, and inventory optimization, it also raises substantial…
Monetizing Digital Content with Network Effects
https://d.repec.org/n?u=RePEc:rco:dpaper:541&r=&r=com
Published: July 30, 2025 00:00
We design profit-maximizing mechanisms to sell an excludable and non-rival good with positive and/or negative network effects. Buyers have heterogeneous private values that depend on how many others also consume the good. In optimum, an endogenous number…
Surplus Squeeze and Informational Hold-Up
https://d.repec.org/n?u=RePEc:rco:dpaper:538&r=&r=com
Published: July 22, 2025 00:00
We study a static bilateral trade setting with moral hazard, where a seller privately chooses quality and a buyer may pay to verify it. We show that buyer-side information acquisition can lead to informational hold-up through a mechanism wecall surplus…
Workers’ Motivation and Quality of Services in Mission-Driven Sectors
https://d.repec.org/n?u=RePEc:tse:wpaper:130749&r=&r=com
Published: July 18, 2025 00:00
This paper studies how firms’ ownership choices and workers’ intrinsic motivation jointly shape service quality and market outcomes in labor-intensive, mission-driven sectors. Two organizations first choose whether to operate as standard for-profit or as…
Firms’ Wage-Setting Power: A New Take on Monopsony in the Labor Market
https://d.repec.org/n?u=RePEc:fip:l00001:101337&r=&r=com
Published: July 17, 2025 00:00
Why do some firms seem to pay workers less than what their labor is worth? An economic model gives insights into how wage-setting power arises in modern labor markets.