242 research outputs found
A Full Characterization of All Deterministic Dominant Strategy Incentive Compatible, Ex-Post Individually Rational, and Ex-Post Budget Balanced Direct Mechanisms in the Public Good Provision Problem with Independent Private Values
Олег Миколайович Романів
Відійшов у вічність визначний учений, відомий український громадський і культурний діяч, багатолітній голова Наукового товариства ім. Шевченка, член-кореспондент Національної академії наук України, член Бюро Національної асоціації українознавців Олег Миколайович Романів
Sharing responsibility between non-state actors and states in international law: introduction
Increasing Dominance - the Role of Advertising, Pricing and Product Design
Despite the empirical relevance of advertising strategies in concentrated markets, the economics literature is largely silent on the effect of persuasive advertising
strategies on pricing, market structure and increasing (or decreasing) dominance. In a simple model of persuasive advertising and pricing with differentiated goods,
we analyze the interdependencies between ex-ante asymmetries in consumer appeal, advertising and prices. Products with larger initial appeal to consumers will
be advertised more heavily but priced at a higher level - that is, advertising and price discounts are strategic substitutes for products with asymmetric initial appeal.
We find that the escalating effect of advertising dominates the moderating effect of pricing so that post-competition market shares are more asymmetric than pre-competition differences in consumer appeal. We further find that collusive advertising (but competitive pricing) generates the same market outcomes, and that network effects lead to even more extreme market outcomes, both directly and via
the effect on advertising
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