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Mixed oligopoly, subsidization and the order of firms' moves: an irrelevance result

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  • Joanna Poyago-Theotoky

    ()
    (University of Nottingham)

Abstract

In the presence of output subsidization, the optimal output subsidy is identical and profits, output and social welfare are also identical irrespective of whether (i)a public firm moves simultaneously with n private firms or (ii) it acts as a Stackelberg leader or (iii) all firms, public and private, behave as profit-maximizers.

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File URL: http://www.accessecon.com/pubs/EB/2001/Volume12/EB-01L30001A.pdf
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Bibliographic Info

Article provided by AccessEcon in its journal Economics Bulletin.

Volume (Year): 12 (2001)
Issue (Month): 3 ()
Pages: 1-5

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Handle: RePEc:ebl:ecbull:eb-01l30001

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Keywords: mixed oligopoly;

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  1. Debashis Pal & Mark D. White, 1998. "Mixed Oligopoly, Privatization, and Strategic Trade Policy," Southern Economic Journal, Southern Economic Association, vol. 65(2), pages 264-281, October.
  2. White, Mark D., 1996. "Mixed oligopoly, privatization and subsidization," Economics Letters, Elsevier, vol. 53(2), pages 189-195, November.
  3. de Fraja, Giovanni & Delbono, Flavio, 1990. " Game Theoretic Models of Mixed Oligopoly," Journal of Economic Surveys, Wiley Blackwell, vol. 4(1), pages 1-17.
  4. de Fraja, Giovanni & Delbono, Flavio, 1989. "Alternative Strategies of a Public Enterprise in Oligopoly," Oxford Economic Papers, Oxford University Press, vol. 41(2), pages 302-11, April.
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