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A comment on 'Cross-border merger, vertical structure, and spatial competition'

Author

Listed:
  • Konstantinos Eleftheriou

    (Department of Economics, University of Piraeus, Greece)

  • Nickolas J. Michelacakis

    (Department of Economics, University of Piraeus, Greece)

  • Vassilios G. Papavassiliou

    (University College Dublin, Ireland; The Rimini Centre for Economic Analysis, Italy)

Abstract

The aim of this paper is to revise and correct the results obtained in Beladi et al. [Beladi, H., Chakrabarti, A., Marjit, S., 2010. Cross-border merger, vertical structure, and spatial competition. Economics Letters 109, 112-114]. Specifically, we prove that in the pre-merger free-trade case, Nash equilibrium locations coincide with the equilibrium locations of the two downstream firms, following a cross-border upstream merger.

Suggested Citation

  • Konstantinos Eleftheriou & Nickolas J. Michelacakis & Vassilios G. Papavassiliou, 2016. "A comment on 'Cross-border merger, vertical structure, and spatial competition'," Working Paper series 16-14, Rimini Centre for Economic Analysis, revised Aug 2016.
    • Handle: RePEc:rim:rimwps:16-14
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    References listed on IDEAS

    as
    1. Beladi, Hamid & Chakrabarti, Avik & Marjit, Sugata, 2010. "Cross-border merger, vertical structure, and spatial competition," Economics Letters, Elsevier, vol. 109(2), pages 112-114, November.
    2. Eleftheriou, Konstantinos & Michelacakis, Nickolas J., 2016. "A comment on ‘Vertical mergers and downstream spatial competition with different product varieties’," Economics Letters, Elsevier, vol. 143(C), pages 84-86.
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    Cited by:

    1. Eleftheriou, Konstantinos & Michelacakis, Nickolas, 2017. "Spatial Price Discrimination and Privatization on Vertically Related Markets," MPRA Paper 76964, University Library of Munich, Germany.

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    1. Eleftheriou, Konstantinos & Michelacakis, Nickolas, 2017. "Spatial Price Discrimination and Privatization on Vertically Related Markets," MPRA Paper 76964, University Library of Munich, Germany.
    2. Eleftheriou, Konstantinos & Michelacakis, Nickolas J. & Papavassiliou, Vassilios G., 2016. "Addendum to Eleftheriou and Michelacakis (2016)," Economics Letters, Elsevier, vol. 148(C), pages 53-54.
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    More about this item

    Keywords

    Price-discrimination; Spatial-competition; Firm-location; Cross-border merger;
    All these keywords.

    JEL classification:

    • L13 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Oligopoly and Other Imperfect Markets
    • L42 - Industrial Organization - - Antitrust Issues and Policies - - - Vertical Restraints; Resale Price Maintenance; Quantity Discounts
    • D43 - Microeconomics - - Market Structure, Pricing, and Design - - - Oligopoly and Other Forms of Market Imperfection
    • R32 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Spatial Production Analysis, and Firm Location - - - Other Spatial Production and Pricing Analysis
    • F10 - International Economics - - Trade - - - General
    • F12 - International Economics - - Trade - - - Models of Trade with Imperfect Competition and Scale Economies; Fragmentation

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