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Market Leaders and Industrial Policy

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  • Federico Etro

    ()
    (Department of Economics, University of Milan-Bicocca)

Abstract

This article provides an overview of recent progress in the theory of market structure, of the role of market leaders and the scope of industrial policy, presents new results through simple examples of quantity competition, price competition and competition for the market and develops new applications to the theory of competition in presence of network externalities and learning by doing, of strategic debt financing in the optimal financial structure, of bundling as a strategic device, of vertical restraints through interbrand competition, of price discrimination and to the theory of innovation. Finally, it draws policy implications for antitrust issues with particular reference to the approach to abuse of dominance and to the protection of IPRs to promote innovation.

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File URL: http://dipeco.economia.unimib.it/repec/pdf/mibwpaper103.pdf
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Bibliographic Info

Paper provided by University of Milano-Bicocca, Department of Economics in its series Working Papers with number 103.

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Length: 52 pages
Date of creation: Nov 2006
Date of revision: Nov 2006
Handle: RePEc:mib:wpaper:103

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Related research

Keywords: Leadership; Free; Competition Policy; Financial Structure; Bundling; Innovation; Strategic Trade Policy;

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References

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  1. Federico Etro, 2007. "Stackelberg competition with endogenous entry," Working Papers 121, University of Milano-Bicocca, Department of Economics, revised 2007.
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  6. Federico Etro, 2004. "Innovation by leaders," Economic Journal, Royal Economic Society, vol. 114(495), pages 281-303, 04.
  7. Boone, Jan, 2000. "Competition," CEPR Discussion Papers 2636, C.E.P.R. Discussion Papers.
  8. Federico Etro, 2006. "Strategic Export Promotion," Working Papers 101, University of Milano-Bicocca, Department of Economics, revised Oct 2006.
  9. Dixit, Avinash K & Stiglitz, Joseph E, 1975. "Monopolistic Competition and Optimum Product Diversity," The Warwick Economics Research Paper Series (TWERPS) 64, University of Warwick, Department of Economics.
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Citations

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Cited by:
  1. Ivan Ledezma, 2010. "Defensive Strategies in the Quality Ladders," Working Papers DT/2010/11, DIAL (Développement, Institutions et Mondialisation).
  2. Bruno Amable & Ivan Ledezma & Stéphane Robin, 2014. "Product market regulation, innovation and productivity," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) halshs-00973947, HAL.
  3. Hiroaki Ino & Toshihiro Matsumura, 2010. "What role should public enterprises play in free-entry markets?," Journal of Economics, Springer, vol. 101(3), pages 213-230, November.
  4. Federico Etro, 2008. "Stackelberg Competition with Endogenous Entry," Economic Journal, Royal Economic Society, vol. 118(532), pages 1670-1697, October.
  5. Ilir Maçi & Kresimir Zigic, 2008. "Competition Policy and Market Leaders," CERGE-EI Working Papers wp375, The Center for Economic Research and Graduate Education - Economic Institute, Prague.
  6. Eugen Kovac & Viatcheslav Vinogradov & Krešimir Žigiæ, 2009. "Technological Leadership and Persistence of Monopoly under Endogenous Entry: Static versus Dynamic Analysis," CERGE-EI Working Papers wp401, The Center for Economic Research and Graduate Education - Economic Institute, Prague.
  7. Bruno Amable & Ivan Ledezma, 2013. "Export performance and product market regulation," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) halshs-00795316, HAL.
  8. Cappenberg, Christina, 2013. "Staatliche Förderung regionaler Unternehmensnetzwerke: Legitimation nationaler Clusterpolitik," Arbeitspapiere 140, Westfälsche Wilhelms-Universität Münster (WWU), Institut für Genossenschaftswesen.
  9. Viatcheslav Vinogradov & Kresimir Zigic & Eugen Kovac, 2010. "Technological Leadership and the Persistence of Monopoly under Endogenous Entry: Static versus Dynamic Analysis," 2010 Meeting Papers 795, Society for Economic Dynamics.
  10. repec:hal:wpaper:halshs-00586709 is not listed on IDEAS
  11. Krešimir Žigić, 2012. "Stackelberg leadership with product differentiation and endogenous entry: some comparative static and limiting results," Journal of Economics, Springer, vol. 106(3), pages 221-232, July.

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