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Cournot competition and location choice with wage bargaining

Author Info

Listed author(s):
  • Qiang Wang

    ()

    (College of Economics and Management,Nanjing University of Aeronautics and Astronautics)

  • Qi Chen

    ()

    (College of Economics and Management,Nanjing University of Aeronautics and Astronautics)

Registered author(s):

    Abstract

    Equilibrium locations are analyzed in location-quantity games, in which firms acquire labor inputs through bilateral monopoly relations with independent labor union. We find that the pattern of locations varies as the transport rate increase in a linear city. In a circular city, firms locate equidistant form each other.

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    File URL: http://www.accessecon.com/pubs/EB/2008/Volume12/EB-08L10020A.pdf
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    Article provided by AccessEcon in its journal Economics Bulletin.

    Volume (Year): 12 (2008)
    Issue (Month): 22 ()
    Pages: 1-5

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    Handle: RePEc:ebl:ecbull:eb-08l10020
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    Find related papers by JEL classification:

    • L1 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance
    • L1 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance

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    1. Alessandra Chirco & Marcella Scrimitore & Corrado Benassi, 2007. "Spatial Discrimination with Quantity Competition and High Transportation Costs: a Note," Economics Bulletin, AccessEcon, vol. 12(1), pages 1-7.
    2. Hamilton, Jonathan H. & Thisse, Jacques-Francois & Weskamp, Anita, 1989. "Spatial discrimination : Bertrand vs. Cournot in a model of location choice," Regional Science and Urban Economics, Elsevier, vol. 19(1), pages 87-102, February.
    3. Pal, Debashis, 1998. "Does Cournot competition yield spatial agglomeration?," Economics Letters, Elsevier, vol. 60(1), pages 49-53, July.
    4. Mayer, Thierry, 2000. "Spatial Cournot competition and heterogeneous production costs across locations," Regional Science and Urban Economics, Elsevier, vol. 30(3), pages 325-352, May.
    5. Steven C. Salop, 1979. "Monopolistic Competition with Outside Goods," Bell Journal of Economics, The RAND Corporation, vol. 10(1), pages 141-156, Spring.
    6. repec:ebl:ecbull:v:12:y:2007:i:1:p:1-7 is not listed on IDEAS
    7. Naylor, Robin, 1998. "International trade and economic integration when labour markets are generally unionised," European Economic Review, Elsevier, vol. 42(7), pages 1251-1267, July.
    8. Matsushima, Noriaki, 2001. "Cournot competition and spatial agglomeration revisited," Economics Letters, Elsevier, vol. 73(2), pages 175-177, November.
    9. Anderson, Simon P & Neven, Damien J, 1991. "Cournot Competition Yields Spatial Agglomeration," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 32(4), pages 793-808, November.
    10. Gupta, Barnali & Pal, Debashis & Sarkar, Jyotirmoy, 1997. "Spatial Cournot competition and agglomeration in a model of location choice," Regional Science and Urban Economics, Elsevier, vol. 27(3), pages 261-282, June.
    11. Brekke, Kurt R. & Straume, Odd Rune, 2004. "Bilateral monopolies and location choice," Regional Science and Urban Economics, Elsevier, vol. 34(3), pages 275-288, May.
    12. José María Chamorro Rivas, 2000. "Spatial dispersion in cournot competition," Spanish Economic Review, Springer;Spanish Economic Association, vol. 2(2), pages 145-152.
    13. Gupta, Barnali & Lai, Fu-Chuan & Pal, Debashis & Sarkar, Jyotirmoy & Yu, Chia-Ming, 2004. "Where to locate in a circular city?," International Journal of Industrial Organization, Elsevier, vol. 22(6), pages 759-782, June.
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