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Market Leaders and Industrial Policy

Author

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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.

Suggested Citation

  • Federico Etro, 2006. "Market Leaders and Industrial Policy," Working Papers 103, University of Milano-Bicocca, Department of Economics, revised Nov 2006.
  • Handle: RePEc:mib:wpaper:103
    as

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    File URL: http://dems.unimib.it/repec/pdf/mibwpaper103.pdf
    File Function: First version, 2006
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    References listed on IDEAS

    as
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    More about this item

    Keywords

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

    JEL classification:

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

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