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Mixed Oligopoly In A Single International Market

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Author Info
ALI DADPAY
JOHN S. HEYWOOD

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Abstract

This paper departs from previous literature by considering a mixed oligopoly with two countries each with public and private firms competing in a single market. This differs from the traditional framework of examining a single domestic market in which foreign and domestic firms compete and is motivated, in part, by international airline markets but serves to characterise many markets. The resulting equilibrium emphasises that the strategic interaction of the two public firms usually serves to reduce welfare. Thus, the usual reason to imagine a public firm in a mixed oligopoly, to enhance welfare, is lost when such firms compete in the interest of their respective countries. Copyright Blackwell Publishing Ltd/University of Adelaide and Flinders University 2006..

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File URL: http://www.blackwell-synergy.com/links/doi/10.1111/j.1467-8454.2006.00292.x
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Publisher Info
Article provided by Blackwell Publishing in its journal Australian Economic Papers.

Volume (Year): 45 (2006)
Issue (Month): 4 (December)
Pages: 269-280
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Handle: RePEc:bla:ausecp:v:45:y:2006:i:4:p:269-280

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  1. John S. Heywood & Guangliang Ye, 2009. "Delegation in a mixed oligopoly: the case of multiple private firms," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 30(2), pages 71-82. [Downloadable!]
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This page was last updated on 2009-11-22.


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