We consider a pie-splitting game involving three committee members. In response to the large literature on sequential procedures in this type of game, we propose an institution that is inspired by auction theory. The (sealed) bids of the players are proposals for a distribution of the pie and are given simultaneously. If any of the bids is preferred to all others in a pairwise comparison (i.e. ...

This paper compares Bertrand and Cournot equilibria in a differentiated duopoly with R&D competition or cooperation, where R&D may affect both unit cost of production and the size of the market. This combination of product and process innovation is shown to allow for the reversal of some results found in earlier models that only look at one of the two types of R&D effects. We find that for a ...

This paper analyses the endogenous formation of technology sharing coalitions with asymmetric firms. Coalition partners enjoy perfect spillovers from technology advancements by their coalition partners, but each firm determines its R&D investment level non-cooperatively and there is no co-operation in the product market. We show that the equilibrium coalition outcome is one between the two most ...

This paper demonstrates analytically how a nature reserve may protect the total population, realize maximum sustainable yield (MSY), maximum economic yield (MEY) and consumer surplus (CS) and how this depends on biological growth, migration, reserve size and economic parameters. The pre-reserve population is assumed to follow the logistic growth law and two post-reserve growth models are discussed. ...

In this paper we analyze the incentives for platform sponsors to open up their networks for independent rivals. We show that open access may increase the platform sponsors’ profit levels and enhance quality improving investments.

Fragmented property rights can be a factor that limits firms’ willingness to invest in the development and commercialization of new products. This paper studies the interaction between markets for products and markets for intellectual property rights (patents) where product innovation requires several complementary patents, each of which is obtained as the result of a patent race. We show that ...

This paper analyses the economics of pest and nuisance relating to wild animals. It studies stylised models where wild animals represent a direct nuisance to agricultural production through grazing and crop damage. Such damage is particularly relevant in poor rural communities, where people are dependent on livestock and crop production and at the same time are living close to nature and wildlife. ...

In this paper we analyze the interconnection incentives for firms that have an installed base of customers and that also compete for new customers. We show that the small firm may be harmed in the competition for new customers if the customers in the installed bases are charged a high price, since this makes the large firm more aggressive. It is also shown that the price charged to the installed ...

Water demand management is a key focus area for most water managers and even more so in developing countries. Improved access to water is important to the poor. Water scarcity makes efficient management even more urgent and it creates more conflicts in water distribution. Different policies have been introduced to ensure a water management system that cares for the poor, among them the Increasing ...

Assuming externalities from aquaculture to fisheries, we use a Verhulst-Schaefer model of fish population-dynamics and production, coupled with an aquaculture production model, to investigate effects on open-access and rent-maximising fisheries. Externalities are modelled by letting carrying capacity, intrinsic growth rate or catchability coefficient in the fishery depend on aquaculture production. ...