Readings in Industrial Organization

by Cabral, Luis M. B.

• ISBN13: 9780631216179
• ISBN10: 0631216170
• Edition: 1st
• Format: Paperback
• Copyright: 2000-06-08
• Publisher: Wiley-Blackwell

Summary

In Readings in Industrial Organization, Luís Cabral has assembled and placed into context the most important contributions to the literature of industrial organizations (IO) since the 1980s. For students, this collection rises above and beyond a coursepack; for researchers, it is an essential reference. The readings also provide a useful point of entry to IO literature for economists for whom IO is not the main field of research. These readings cover core areas of IO and reflect the mostly theoretical nature of the latest work in the field: - -Static Oligopoly Theory -Entry -Repeated Games and Oligopoly Theory -Technology and Dynamics -Product Differentiation -Asymmetric Information -Empirical Analysis of Oligopoly.

Author Biography

Luis M. B. Cabral is Professor of Economics at London Business School. A Research Fellow of the Centre for Economic Policy Research, Cabral's research interests focus on industry dynamics as well as on regulation and competition policy. He is General Editor of the Journal of Industrial Economics and has been published in leading journals such as the Journal of Economic Theory and Econometrica. A Stanford PhD, he has taught various levels of economics at Stanford University, the University of Lisbon, and the London School of Economics.

Table of Contents

List of Authors	viii
Preface	xi
Acknowledgments	xiii
Part I Static Oligopoly Theory	1	(28)
Introduction	3	(2)
Quantity Precommitment and Bertrand Competition Yield Cournot Outcomes	5	(15)
David M. Kreps
Jose A. Scheinkman
The Fat-Cat Effect, the Puppy-Dog Ploy, and the Lean and Hungry Look	20	(9)
Drew Fudenberg
Jean Tirole
Part II Repeated Games and Oligopoly Theory	29	(74)
Introduction	31	(3)
Noncooperative Collusion under Imperfect Price Information	34	(14)
Edward J. Green
Robert H. Porter
A Supergame-Theoretic Model of Price Wars During Booms	48	(23)
Julio J. Rotemberg
Garth Saloner
Multimarket Contact and Collusive Behavior	71	(32)
B. Douglas Bernheim
Michael D. Whinston
Part III Product Differentiation	103	(42)
Introduction	105	(3)
On Hotelling's ``Stability in Competition''	108	(5)
Claude D'Aspremont
J. Jaskold Gabszewicz
Jacques-Francois Thisse
Relaxing Price Competition Through Product Differentiation	113	(13)
Avner Shaked
John Sutton
Monopolistic Competition and Optimum Product Diversity	126	(19)
Avinash K. Dixit
Joseph E. Stiglitz
Part IV Empirical Analysis of Oligopoly	145	(74)
Introduction	147	(3)
The Oligopoly Solution Concept is Identified	150	(5)
Timothy F. Bresnahan
A Study of Cartel Stability: The Joint Executive Committee, 1880--1886	155	(16)
Robert H. Porter
Automobile Prices in Market Equilibrium	171	(48)
Steven Berry
James Levinsohn
Ariel Pakes
Part V Entry	219	(74)
Introduction	221	(3)
The Role of Investment in Entry-Deterrence	224	(13)
Avinash K.Dixit
Contracts as a Barrier to Entry	237	(19)
Philippe Aghion
Patrick Bolton
Free Entry and Social Inefficiency	256	(14)
N. Gregory Mankiw
Michael D. Whinston
Selection and the Evolution of Industry	270	(23)
Boyan Jovanovic
Part VI Technology and Dynamics	293	(80)
Introduction	295	(3)
Preemptive Patenting and the Persistence of Monopoly	298	(16)
Richard J. Gilbert
David M. G. Newbery
Uncertain Innovation and the Persistence of Monopoly	314	(9)
Jennifer F. Reinganum
The Learning Curve, Market Dominance, and Predatory Pricing	323	(27)
Luis M. B. Cabral
Michael H. Riordan
Preemption and Rent Equalization in the Adoption of New Technology	350	(23)
Drew Fudenberg
Jean Tirole
Part VII Asymmetric Information	373	(66)
Introduction	375	(3)
Reputation and Imperfect Information	378	(23)
David M. Kreps
Robert Wilson
Limit Pricing and Entry under Incomplete Information: An Equilibrium Analysis	401	(16)
Paul Milgrom
John Roberts
Price and Advertising Signals of Product Quality	417	(22)
Paul Milgrom
John Roberts
Index	439