Issue 2

June 1995

Sole-Sourcing versus Competitive Bidding: US Government Agencies' Procedural Choices for Mainframe Computer Procurement

Why do government agencies sole-source sometimes and use competitive procedures for procurement other times?

Competition in European Aviation: Pricing Policy and Market Structure

The purpose of this paper is to analyze the impact of liberal bilateral agreements on some European air routes in terms of price competition and market structure.

Sunk Costs, Firm Size and Firm Growth

For several decades, the conventional wisdom has been that expected firm growth rates are independent of firm size, a property known as Gibrat's Law.

Technological Diffusion with Social Learning

This paper attributes the slow diffusion of innovations to an informational externality in the adoption process.

Network Competition, Product Quality, and Market Coverage in the Presence of Network Externalities

The model identifies the quality of a network product with the number of consumers using it. Hence the producer cannot unilaterally control the quality of his product.

Equilibrium and Optimal Size of a Research Joint Venture in an Oligopoly with Spillovers

This paper analyses a simple oligopoly model with information spillovers. Firms spend on R&D to affect their costs of production.