Disincentives for cost-reducing investment

被引:9
|
作者
Thomas, CJ [1 ]
机构
[1] Fed Trade Commiss, Washington, DC 20580 USA
关键词
asymmetric auction; strategic investment;
D O I
10.1016/S0165-1765(97)00237-1
中图分类号
F [经济];
学科分类号
02 ;
摘要
Interpreting a result from asymmetric auctions suggests that price-setting firms may have no incentive to adopt technologies that likely reduce their production costs. This "puppy dog" behavior relies on incomplete information about rivals' costs at the price-setting stage. (C) 1997 Elsevier Science S.A.
引用
收藏
页码:359 / 363
页数:5
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