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Jeon, Doh-Shin
and Lefouili, Yassine
(2020)
Decentralizing Cooperation through Upstream Bilateral Agreements.
TSE Working Paper, n. 20-1119, Toulouse
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Official URL : http://tse-fr.eu/pub/124410
Abstract
We consider an industry with n≥3 firms owning upstream inputs and interacting noncooperatively in a downstream market. Under general conditions, upstream bilateral agreements giving firms access to one another's input lead to industry profit maximization. This decentralization result applies to various upstream agreements including cross-licensing agreements among patent-holding manufacturers, interconnection agreements among telecommunication companies, interbank payments for ATM networks, and data-sharing agreements among competitors or complementors.
| Item Type: | Monograph (Working Paper) |
|---|---|
| Language: | English |
| Date: | June 2020 |
| Place of Publication: | Toulouse |
| Uncontrolled Keywords: | Bilateral oligopoly, upstream agreement, cooperation |
| JEL Classification: | L13 - Oligopoly and Other Imperfect Markets L41 - Monopolization; Horizontal Anticompetitive Practices |
| Subjects: | B- ECONOMIE ET FINANCE |
| Divisions: | TSE-R (Toulouse) |
| Institution: | Université Toulouse 1 Capitole |
| Site: | UT1 |
| Date Deposited: | 08 Jul 2020 15:36 |
| Last Modified: | 29 Jun 2021 12:22 |
| OAI Identifier: | oai:tse-fr.eu:124410 |
| URI: | https://publications.ut-capitole.fr/id/eprint/35085 |
