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Content Protection and Oligopolistic Interactions

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Author Info
Kala Krishna
Motoshige Itoh

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Abstract

In oligopolistic situations content protection can have unexpected effects as it changes the nature of interactions between input suppliers. With a duoply, it does so in a manner that makes the foreign firm wish to match price increases and decreases of the domestic firm. Domestic input suppliers can therefore lose from such policies, even when set at free trade levels. The relation between input demands, the form of protection, and the degree of substitution between inputs is shown to define the effects of content protection and to provide the basis for understanding who might lobby for protection in different environments.

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Paper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 1843.

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Date of creation: Dec 1988
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Handle: RePEc:nbr:nberwo:1843

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Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Grossman, Gene M, 1981. "The Theory of Domestic Content Protection and Content Preference," The Quarterly Journal of Economics, MIT Press, vol. 96(4), pages 583-603, November. [Downloadable!] (restricted)
  2. Jeremy I. Bulow & John Geanakoplos & Paul D. Klemperer, 1983. "Multimarket Oligopoly," Cowles Foundation Discussion Papers 674, Cowles Foundation, Yale University. [Downloadable!]
  3. Nirvikar Singh & Xavier Vives, 1984. "Price and Quantity Competition in a Differentiated Duopoly," RAND Journal of Economics, The RAND Corporation, vol. 15(4), pages 546-554, Winter. [Downloadable!] (restricted)
  4. Sanyal, Kalyan K & Jones, Ronald W, 1982. "The Theory of Trade in Middle Products," American Economic Review, American Economic Association, vol. 72(1), pages 16-31, March. [Downloadable!] (restricted)
  5. McCulloch, Rachel & Johnson, Harry G, 1973. "A Note on Proportionally Distributed Quotas," American Economic Review, American Economic Association, vol. 63(4), pages 726-32, September. [Downloadable!] (restricted)
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(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Bekkali, Mukhtar & Beghin, John C., 2005. "Economics of Domestic Cultural Content Protection in Broadcasting, The," Staff General Research Papers 12476, Iowa State University, Department of Economics. [Downloadable!]
  2. AUGIER Patricia & GAZIOREK Michael & LAITONG Charles, 2004. "The Impact of Rules of Origin On Trade Flows," International Trade 0404001, EconWPA. [Downloadable!]
    Other versions:
  3. Kala Krishna, 1990. "Export Restraints With Imperfect Competition: A Selective Survey," NBER Working Papers 3244, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  4. Jung Hur & Yohanes E. Riyanto, 2004. "On the Role of Local Content Requirement in Defusing the Threat of Quid-Pro-Quo FDI," Econometric Society 2004 Far Eastern Meetings 641, Econometric Society. [Downloadable!]
  5. Kala Krishna, 2005. "Conditional Policies in General Equilibrium," NBER Working Papers 11283, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  6. Juan Rosellón, 2000. "The economics of rules of origin," Journal of International Trade & Economic Development, Taylor and Francis Journals, vol. 9(4), pages 397-425, December. [Downloadable!] (restricted)
  7. Rod Falvey & Geoff Reed, 1998. "Economic effects of rules of origin," Review of World Economics (Weltwirtschaftliches Archiv), Springer, vol. 134(2), pages 209-229, June. [Downloadable!] (restricted)
  8. Lionel Fontagne, 1995. "Why NAFTA Might Be Discriminatory," Working Papers 1995-12, CEPII research center. [Downloadable!]
  9. Phillip Swagel, 1993. "Union behavior, industry rents, and optimal policies," International Finance Discussion Papers 459, Board of Governors of the Federal Reserve System (U.S.). [Downloadable!]
  10. Kala Krishna & Kathleen Hogan & Phillip Swagel, 1989. "The Non-Optimality of Optimal Trade Policy: The U.S. Automobile Indust ry Revisited, 1979-1985," NBER Working Papers 3118, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  11. Tomohiro Kuroda, 2004. "Local content protection reconsidered: the case of domestic monopsonist," Economics Bulletin, Economics Bulletin, vol. 6(24), pages 1-9. [Downloadable!]
  12. Kala Krishna & Marie Thursby, 1988. "Optimal Policies with Strategic Distortions," NBER Working Papers 2527, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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