Issue 2

June 2004

Vertical Enclosure: Vertical Integration and the Reluctance to Purchase from a Competitor

Vertical integration can reduce integrating firms' trading opportunities and, contrary to predictions of two-firm models, this loss of trade can make integration unprofitable.

Affiliation, integration, and information: ownership incentives and industry structure

This paper presents theory and evidence on horizontal industry structure. At issue is the question: what makes industries necessarily fragmented?

Spillovers, Investment Incentives and the Property Rights Theory of the Firm

This paper examines the property rights theory of the firm when a manager's relationship-specific investment can be partially appropriated by the owner of an asset even if cooperation breaks down.

Plant Exit, Vintage Capital and the Business Cycle

Despite the large literature on plant exit behavior, little attention has been paid to the vintage capital theory as an alternative hypothesis to learning.

Industry and firm effects of privatization in Malawian oligopolistic manufacturing

This study evaluates the impact of privatization on technical efficiency using panel data from privatized enterprises, state-owned enterprises and private enterprises competing in oligopolistic Malawi

Network Structure and Airline Scheduling

This paper provides a simple analysis of the effects of network structure on the scheduling, traffic, and aircraft size choices of a monopoly airline.