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A comment on 'Cross-border merger, vertical structure, and spatial competition'
Eleftheriou, Konstantinos; Michelacakis, Nickolas J.; Papavassiliou, Vassilios G.
The aim of this paper is to revise and correct the results obtained in Beladi et al. [Beladi, H., Chakrabarti, A., Marjit, S., 2010. Cross-border merger, vertical structure, and spatial competition. Economics Letters 109, 112-114]. Specifically, we prove that the Nash equilibrium locations of the downstream firms are the same in the pre-merger free-trade case as they are following a cross-border upstream merger.
Keyword(s): Price-discrimination; Spatial-competition; Firm-location; Cross-border merger; L13; L42; D43; R32; F10; F12
Publication Date:
2016
Type: Working paper
Peer-Reviewed: No
Language(s): English
Institution: University College Dublin
First Indexed: 2016-11-15 05:29:14 Last Updated: 2016-11-15 05:29:14