Author: Jongwoo ParkPublisher:
ISBN: 9781124734514
Category : Competition
Languages : en
Pages : 81
Book Description
Three Essays on Competition Under Uncertainty
Author: Jongwoo ParkPublisher:
ISBN: 9781124734514
Category : Competition
Languages : en
Pages : 81
Book Description
Ledetraad ved Forelæsningerne over Chemie ved den kongelige militaire Høiskole
Author: ENTRY AND ENTRY DETERRENCE UNDER UNCERTAINTY: THREE ESSAYS ON FIRM BEHAVIOR UNDER ASYMMETRIC INFORMATION.
Author: TERRENCE MATTHEW BELTONPublisher:
ISBN:
Category :
Languages : en
Pages : 124
Book Description
static results including the shape of the industry supply curve and the impact of increasing risk on long run competitive equilibrium.
Entry and Entry Deterrence Under Uncertainty
Author: Publisher:
ISBN:
Category : Barriers to entry (Industrial organization)
Languages : en
Pages : 115
Book Description
Three Essays on Duopolistic Competition Under Asymmetric Cost Conditions
Author: Ping-yen LaiEssays in the Economics of Uncertainty
Author: Jean-Jacques LaffontPublisher: Harvard University Press
ISBN: 9780674265554
Category : Business & Economics
Languages : en
Pages : 160
Book Description
These three elegant essays develop principles central to the understanding of the diverse ways in which imperfect information affects the distribution of resources, incentives, and the evaluation of economic policy. The first concerns the special role that information plays in the allocation process when it is possible to improve accuracy through private investment. The common practice of hiring "experts" whose information is presumably much better than their clients' is analyzed. Issues of cooperative behavior when potential group members possess diverse pieces of information are addressed. Emphasis is placed on the adaptation of the "core" concept from game theory to the resource allocation model with differential information. The second essay deals with the extent to which agents can influence the random events they face. This is known as moral hazard, and in its presence there is a potential inefficiency in the economic system. Two special models are studied: the role of moral hazard in a monetary economy, and the role of an outside adjudicatory agency that has the power to enforce fines and compensation. The final essay discusses the problem of certainty equivalence in economic policy. Conditions under which a full stochastic optimization can be calculated by solving a related, much simpler "certainty equivalence" problem are developed. The reduction in the complexity of calculation involved is very great compared with the potential loss of efficiency.
Three Essays in Competition Economics
Author: Dongyu GuoThree Essays on Competition and Innovation
Author: Daniel NepelskiThree Essays on Imperfect Competition[
Author: Adina Oana ClaiciPublisher:
ISBN: 9788468965215
Category :
Languages : en
Pages : 250
Book Description
Three Essays on Consumer Behavior Under Uncertainty
Author: Koichi YonezawaPublisher:
ISBN:
Category : Consumer behavior
Languages : en
Pages : 191
Book Description
It is well understood that decisions made under uncertainty differ from those made without risk in important and significant ways. Yet, there is very little research into how uncertainty manifests itself in the most ubiquitous of decision-making environments: Consumers' day-to-day decisions over where to shop, and what to buy for their daily grocery needs. Facing a choice between stores that either offer relatively stable "everyday low prices" (EDLP) or variable prices that reflect aggressive promotion strategies (HILO), consumers have to choose stores under price-uncertainty. I find that consumers' attitudes toward risk are critically important in determining store-choice, and that heterogeneity in risk attitudes explains the co-existence of EDLP and HILO stores - an equilibrium that was previously explained in somewhat unsatisfying ways. After choosing a store, consumers face another source of risk. While knowing the quality or taste of established brands, consumers have very little information about new products. Consequently, consumers tend to choose smaller package sizes for new products, which limits their exposure to the risk that the product does not meet their prior expectations. While the observation that consumers purchase small amounts of new products is not new, I show how this practice is fully consistent with optimal purchase decision-making by utility-maximizing consumers. I then use this insight to explain how manufacturers of consumer packaged goods (CPGs) respond to higher production costs. Because consumers base their purchase decisions in part on package size, manufacturers can use package size as a competitive tool in order to raise margins in the face of higher production costs. While others have argued that manufacturers reduce package sizes as a means of raising unit-prices (prices per unit of volume) in a hidden way, I show that the more important effect is a competitive one: Changes in package size can soften price competition, so manufacturers need not rely on fooling consumers in order to pass-through cost increases through changes in package size. The broader implications of consumer behavior under risk are dramatic. First, risk perceptions affect consumers' store choice and product choice patterns in ways that can be exploited by both retailers and manufacturers. Second, strategic considerations prevent manufacturers from manipulating package size in ways that seem designed to trick consumers. Third, many services are also offered as packages, and also involve uncertainty, so the effects identified here are likely to be pervasive throughout the consumer economy.