Download or read book Horizontal Mergers in Optimal Auctions written by Luke M. Froeb and published by . This book was released on 2017 with total page 35 pages. Available in PDF, EPUB and Kindle. Book excerpt: Following merger, an optimal mechanism discriminates against merging bidders with higher reserve prices and by allocating more often towards non-merging bidders. In this setting, we show that mergers always harm the auctioneer, benefit non-merging bidders, can increase total surplus, and have effects that decrease with increases in the auctioneer's reservation value, to the point where the merger can become unprofitable. Merger effects are also much smaller than in open auctions because bidders compete more against an optimal mechanism than they do against each other. As a consequence, there is less competition for mergers to eliminate.
Download or read book The Effects of Mergers in Open Auction Markets written by Keith Waehrer and published by . This book was released on 2001 with total page 42 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Horizontal Mergers with Synergies written by Wei Ding and published by . This book was released on 2013 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: We consider takeover bidding in a Cournot oligopoly when firms have private information concerning the synergy effect of merging with a takeover target and bidders can influence rivals' beliefs through their bids. We compare cash and profit-share auctions, first- and second-price, supplemented by entry fees. Since non-merged firms benefit from a merger if synergies are low, bidders are subject to a positive externality with positive probability; nevertheless, pooling does not occur. Unlike cash auctions, profit-share auctions are not revenue equivalent, and the second-price profit-share auction is more profitable than the other auctions.
Download or read book Unilateral Competitive Effects of Horizontal Mergers Ii written by Gregory J. Werden and published by . This book was released on 2012 with total page 15 pages. Available in PDF, EPUB and Kindle. Book excerpt: Horizontal mergers give rise to unilateral anticompetitive effects if they cause the merged firm to act less intensely competitive than the merging firms, while non-merging rivals do not alter their competitive strategies. This chapter describes the economic theory underlying unilateral competitive effects from mergers when prices are set through an auction or bargaining process. In the auction context, this chapter also describes the quantitative application of this theory in predicting the unilateral price effects of proposed mergers.
Download or read book Putting Auction Theory to Work written by Paul Milgrom and published by Cambridge University Press. This book was released on 2004-01-12 with total page 378 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book provides a comprehensive introduction to modern auction theory and its important new applications. It is written by a leading economic theorist whose suggestions guided the creation of the new spectrum auction designs. Aimed at graduate students and professionals in economics, the book gives the most up-to-date treatments of both traditional theories of 'optimal auctions' and newer theories of multi-unit auctions and package auctions, and shows by example how these theories are used. The analysis explores the limitations of prominent older designs, such as the Vickrey auction design, and evaluates the practical responses to those limitations. It explores the tension between the traditional theory of auctions with a fixed set of bidders, in which the seller seeks to squeeze as much revenue as possible from the fixed set, and the theory of auctions with endogenous entry, in which bidder profits must be respected to encourage participation.
Download or read book The Economic Assessment of Mergers Under European Competition Law written by Daniel Gore and published by Cambridge University Press. This book was released on 2013-04-25 with total page 559 pages. Available in PDF, EPUB and Kindle. Book excerpt: Provides a clear, concise and practical overview of the key economic techniques and evidence employed in European merger control.
Download or read book Dictionary of Industrial Organization written by George Norman and published by Edward Elgar Publishing. This book was released on 2014-03-28 with total page 341 pages. Available in PDF, EPUB and Kindle. Book excerpt: The Dictionary balances concise explanation with comprehensive coverage, incorporating concepts such as the structure-conduct-performance paradigm, the development of the theory of the firm, the foundational contributions of game theory and models of s
Download or read book To Centralize Or Decentralize written by Xiaomeng Guo and published by . This book was released on 2019 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper considers horizontal merging decision under price and quality competition and examines whether two competing firms should merge and which merging strategy (i.e., centralized or decentralized merger) is optimal. Although horizontal mergers are prevalent in practice and have been analyzed extensively in the literature, little attention has been paid to the choice of post-merger integration level from the perspective of price and quality competition. We develop a game-theoretical model, in which multiple firms compete on price and quality and two of them decide whether to merge and how to merge. The two firms can achieve both marginal and fixed cost synergy if they decide to merge and they need to further decide the degree of post-merger integration, i.e., choosing between a centralized merger and decentralized merger. If a centralized merger is adopted, the post-merger firm makes centralized price and quality decisions to maximize the total profit; while if a decentralized merger is adopted, the participant firms operate independently and make their own decisions to maximize their own profits. We highlight several interesting findings. First, we find that the two firms always prefer to merge, and a decentralized merger is optimal when the level of horizontal differentiation among firms is low; a centralized merger is optimal otherwise. Second, stronger cost synergy may hurt the participant firms' profits under a decentralized merger. Third, a merger does not necessarily increase price or reduce quality. Furthermore, we characterize the conditions under which a merger can improve the consumer surplus and social welfare.
Download or read book Bundling and Optimal Auctions of Multiple Products written by Christopher Avery and published by . This book was released on 2000 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: We study the optimal (i.e. revenue maximizing) auction of multiple products. We make three major points. First, we extend the relationship between price discrimination and optimal auctions from the single-product case to the multiple-product case. A monopolist setting prices for multiple products may offer discounts on purchases of bundles of products; similarly, the optimal auction of multiple products facilitates price discrimination by allocating products inefficiently to customers who are willing to purchase both products. Second, we demonstrate that optimal auctions are qualitatively distinct from monopoly sales of multiple products. Because of uncertainty about the values of other consumers, two products are bundled probabilistically in an optimal auction for a customer who is willing to buy both of them. A customer may then receive a discount on a lower-valued product without receiving a higher-valued product. Third, we show that in an optimal auction of two products the allocation of one product may vary with the amount of competition for the other product.
Download or read book Optimal Auctions for Asymmetrically Budget Contrained Bidders written by and published by . This book was released on 2005 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Pre emptive Horizontal Mergers written by and published by . This book was released on 2007 with total page 35 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Single and Multi dimensional Optimal Auctions written by Alexey Malachov and published by . This book was released on 2004 with total page 43 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Optimal Auctions and Pricing with Limited Information written by Mohammed-Amine Allouah and published by . This book was released on 2019 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: In particular, we analyze the tactical role of intermediaries within this marketplace and their impact on the value chain. In turn, we make the case that under some market conditions, there is a potential for Pareto improvement by adjusting the role of these intermediaries.
Download or read book Sequentially Optimal Auctions written by R. Preston McAfee and published by . This book was released on 1994 with total page 33 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Economics and the Enforcement of European Competition Law written by Christopher Decker and published by Edward Elgar Publishing. This book was released on 2009-01-01 with total page 311 pages. Available in PDF, EPUB and Kindle. Book excerpt: The book is well written and readable by non economists. The approaches, questions, methodology, and basis for selection of cases/interviewees are clearly explained and justified. This book is a valuable contribution to the literature. Rhonda Smith, Competition and Consumer Law Journal Recent years have seen a trend toward an economics-based approach to the enforcement of European competition law. But what is meant by economics-based , and how does this approach sit with legal and enforcement practice? This book seeks to place in perspective the growing use of economics in European competition law enforcement by examining precisely how economics contributes to the enforcement activity of the European Commission and Courts. Christopher Decker provides unique empirical insights as to how economic theory, thinking, techniques and data have featured in decision-making in the area of co-ordinated effects. The role of economics is examined throughout the entire enforcement process, from the decision to initiate an investigation to the design and implementation of remedies, and its conclusions are of general relevance to all areas of competition law enforcement where economics is used. Utilising a broad and multifaceted conception of economics, this book is essential reading for academics and students interested in European competition law, EC competition lawyers, applied industrial economists and enforcement officials. It will also be an invaluable tool for academic libraries and institutes, government agencies, law firms and economic consultancies.
Download or read book Essays on Optimal Auctions written by Fernando Manuel Ribeiro Branco and published by . This book was released on 1992 with total page 302 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Combinatorial Auctions written by Peter C. Cramton and published by MIT Press (MA). This book was released on 2006 with total page 678 pages. Available in PDF, EPUB and Kindle. Book excerpt: A synthesis of theoretical and practical research on combinatorial auctions from the perspectives of economics, operations research, and computer science.
