On the welfare impact of mergers of complements: Raising rivals’ costs versus elimination of double marginalization
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DOI: 10.1016/j.econlet.2020.109429
Abstract: Abstract A common view in antitrust analysis is that mergers of complements can have raising rivals’ costs and elimination of double marginalization effects, with the net effect on consumer welfare thus unclear. We revise this… read more here.
Keywords: raising rivals; double marginalization; rivals costs; elimination double ... See more keywords
Mergers of complements and entry in innovative industries
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DOI: 10.1016/j.ijindorg.2019.04.004
Abstract: I study a merger between producers of complement inputs facing potential entry, with investment by the incumbents in deterministic cost reduction and by the entrants in probabilistic innovation, and then competition in prices. The merger… read more here.
Keywords: mergers complements; merger; entry innovative; complements entry ... See more keywords