What is the effect of product market integration on the market equilibrium in the presence of international externalities in consumption ? To address this question, we set up a spatial two-country model and we find that the economic forces at work may have an ambiguous effect on prices.compatibility; horizontal differentiation; network effect

Ana, MAULEON

Cecilia, VERGARI

Vincent, VANNETELBOSCH

English

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http://sites.uclouvain.be/econ/DP/IRES/2008-18.pdf

Market integration and network industries

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