Mixed spatial duopoly, consumers’ distribution and efficiency

C-Tier
Journal: Economics Letters
Year: 2017
Volume: 156
Issue: C
Pages: 74-77

Authors (3)

Benassi, Corrado (Alma Mater Studiorum - Univers...) Chirco, Alessandra (not in RePEc) Colombo, Caterina (not in RePEc)

Score contribution per author:

0.335 = (α=2.01 / 3 authors) × 0.5x C-tier

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

Abstract

We solve a mixed spatial duopoly with a generic log-concave consumers’ distribution. We show that the sub-game perfect equilibrium in prices and locations exists and is generally inefficient, so that the efficiency in the standard uniform distribution case stands out as an exception. Notable examples show that the inefficiency may increase as the distribution becomes more concentrated.

Technical Details

RePEc Handle
repec:eee:ecolet:v:156:y:2017:i:c:p:74-77
Journal Field
General
Author Count
3
Added to Database
2026-01-24