Issue 1

March 2011
Articles: 

BUYER POWER AND THE ‘WATERBED EFFECT’

When a buyer is able to obtain lower input prices from a supplier, is it possible that other buyers will have to pay more for the same input as a result? Is this bad for consumers?

HOW DOES THE INTERNET INFLUENCE PRICE DISPERSION? EVIDENCE FROM THE AIRLINE INDUSTRY

I estimate the Internet's effect on the level and dispersion of airline fares on a given route within and across firms.

MARKET SEGMENTATION WITH NONLINEAR PRICING

We study the benefits and drawbacks of allowing firms to offer different price-quality menus to captive consumers and to consumers more exposed to competition (market segmentation).

ASYMMETRIC MARKET SHARES, ADVERTISING AND PRICING: EQUILIBRIUM WITH AN INFORMATION GATEKEEPER

We analyze how asymmetric market shares impact advertising and pricing decisions by firms that have loyal, non-shopping customers and can advertise to shoppers through a ‘gatekeeper.’ In equilibrium,

INVESTMENT OPTIONS AND BARGAINING POWER: THE EURASIAN SUPPLY CHAIN FOR NATURAL GAS

We use cooperative game theory to analyze the power structure in the pipeline network for Russian gas.

THE EFFECTS OF CAPACITY ON SALES UNDER ALTERNATIVE VERTICAL CONTRACTS

Retailer capacity decisions can impact sales for products by affecting, for example, availability and visibility. Using data from the U.S.

JOINT VENTURE BUY-OUTS UNDER UNCERTAINTY

This paper provides a theory of joint venture buy-outs in the presence of demand uncertainty.