Vertical Differentiation, Trade and Endogenous Common Standards
Different market settings are considered in a free trade environment, where firms can choose technology, quality, and price of quantity. The shape of competition in prices requires the intervention of governments, via a common antidumping policy, to make firms converge on the simultaneous equilibrium which is socially optimal.
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Games and Economic Behavior,
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- G. Ecchia & L. Lambertini, 1995. "Minimum Quality Standards and Collusion," Working Papers 235, Dipartimento Scienze Economiche, Universita' di Bologna.
- David M. Kreps & Jose A. Scheinkman, 1983. "Quantity Precommitment and Bertrand Competition Yield Cournot Outcomes," Bell Journal of Economics, The RAND Corporation, vol. 14(2), pages 326-337, Autumn. Full references (including those not matched with items on IDEAS)
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