Now showing items 1-6 of 6
Cost-Saving production technologies and strategic delegation
This work analyzes a managerial delegation model in which firms that produce a differentiated good can choose between two production technologies: a low marginal cost technology and a high marginal cost technology. For ...
Choice of Flexible Production Technologies Under Strategic Delegation
This work analyzes a managerial delegation model in which firms can choose between a flexible production technology which allows them to produce two different products and a dedicated production technology which limits ...
A Fundamental Contradiction in Standard Rent Theory: A Case Study on Varian's "Intermediate Microeconomics"
In this paper, I examine Varian’s treatment of rent in his textbook on Microeconomics. I argue that he holds contradictory conceptions: sometimes rent is defined as surplus over cost whereas sometimes it is defined as cost, ...
Mergers in Durable Goods Industries
(University of the Basque Country, Department of Foundations of Economic Analysis II, 2004)
This paper is concerned with the study of durability as an aspect of competition and market structure that contributes to determining the incentives for mergers. We find that relative to the incentives in industries that ...
Profit as Cost versus Profit as Surplus over Cost: A Case Study on Varian's "Intermediate Microeconomics"
(UPV/EHU. Departamento de Fundamentos del Análisis Económico I/Ekonomi Analisiaren Oinarriak I Saila, 2004-12)
On the analysis of Varian’s textbook on Microeconomics, which I take to be a representative of the standard view, I argue that Varian provides two contrary notions of profit, namely, profit as surplus over cost and profit ...
Internal Organization of Firms and Cartel Formation
We introduce and characterize a new solution concept for TU games. The new soluction is called SD-prenucleolus and is a lexicographic value although is not a weighted prenucleolus. The SD-prenucleolus satisfies several ...