Interfirm Rivalry in a Repeated Game: An Empirical Test of Tacit Collusion.

A-Tier
Journal: Journal of Industrial Economics
Year: 1987
Volume: 35
Issue: 4
Pages: 499-516

Score contribution per author:

4.022 = (α=2.01 / 1 authors) × 2.0x A-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

Rivalry in the Vancouver retail gasoline market is modeled as a repeated game. Service-station demand, cost, and intertemporal reaction functions are estimated from daily data on individual station prices, costs, and sales. These functions are then used to calculate noncooperative and cooperative solutions to the constitutent game and the actual outcome of the repeated game. The actual outcome is found to be substantially less lucrative than the monopoly solution. Nevertheless, all stations are better off than if they played their noncooperative strategies in every period. Copyright 1987 by Blackwell Publishing Ltd.

Technical Details

RePEc Handle
repec:bla:jindec:v:35:y:1987:i:4:p:499-516
Journal Field
Industrial Organization
Author Count
1
Added to Database
2026-01-29