When is upstream collusion profitable?. (1st April 2019)
- Record Type:
- Journal Article
- Title:
- When is upstream collusion profitable?. (1st April 2019)
- Main Title:
- When is upstream collusion profitable?
- Authors:
- Gu, Dingwei
Yao, Zhiyong
Zhou, Wen
Bai, Rangrang - Abstract:
- Abstract: Motivated by the recent antitrust cases in which Japanese auto parts suppliers colluded to raise supply prices against their long‐term collaborators, the Japanese carmakers, we study the conditions under which an upstream collusion is profitable even after compensating downstream direct purchasers. Oligopoly competition in successive industries is shown to give rise to a vertical externality and a horizontal externality. If a collusive price of intermediate goods better balances the two externalities, the collusion will raise the joint profit of all firms in the two industries and is therefore profitable for the upstream after compensation of downstream firms.
- Is Part Of:
- Rand journal of economics. Volume 50:Number 2(2019)
- Journal:
- Rand journal of economics
- Issue:
- Volume 50:Number 2(2019)
- Issue Display:
- Volume 50, Issue 2 (2019)
- Year:
- 2019
- Volume:
- 50
- Issue:
- 2
- Issue Sort Value:
- 2019-0050-0002-0000
- Page Start:
- 326
- Page End:
- 341
- Publication Date:
- 2019-04-01
- Subjects:
- Industrial organization (Economic theory) -- Periodicals
Microeconomics -- Periodicals
Services publics -- Périodiques
Économie industrielle -- Périodiques
Microéconomie -- Périodiques
338.6 - Journal URLs:
- http://onlinelibrary.wiley.com/journal/10.1111/(ISSN)1756-2171 ↗
http://www.jstor.org/journals/07416261.html ↗
http://www.rje.org/ ↗
http://www3.interscience.wiley.com/journal/120718852/grouphome ↗
http://onlinelibrary.wiley.com/ ↗
http://www.blackwellpublishing.com/journal.asp?ref=0741-6261 ↗ - DOI:
- 10.1111/1756-2171.12271 ↗
- Languages:
- English
- ISSNs:
- 0741-6261
- Deposit Type:
- Legaldeposit
- View Content:
- Available online (eLD content is only available in our Reading Rooms) ↗
- Physical Locations:
- British Library DSC - 7254.410300
British Library DSC - BLDSS-3PM
British Library HMNTS - ELD Digital store - Ingest File:
- 10086.xml