Public firms on an international border: A model of spatial price discrimination

B-Tier
Journal: Regional Science and Urban Economics
Year: 2024
Volume: 109
Issue: C

Authors (2)

Score contribution per author:

1.005 = (α=2.01 / 2 authors) × 1.0x B-tier

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

Abstract

This paper uniquely examines an international mixed oligopoly in a model of spatial price discrimination. It isolates the importance of the location of the border showing a variety of equilibria depending on the nationality and placement of the private rivals. While the presence of a public firm often improves domestic welfare, it need not. Moreover, a prisoner's dilemma can exist in which each country would benefit from the privatization of both public firms but neither country has a unilateral incentive to privatize. The implications are discussed.

Technical Details

RePEc Handle
repec:eee:regeco:v:109:y:2024:i:c:s0166046224000851
Journal Field
Urban
Author Count
2
Added to Database
2026-02-02