Collusive price rigidity under price-matching punishments
By analysing an infinitely repeated game where unit costs alternate stochastically between low and high states and where firms follow a price-matching punishment strategy, we demonstrate that the best collusive prices are rigid over time when the two cost levels are sufficiently close. This provides...
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| Format: | Default Conference proceeding |
| Published: |
2011
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| Online Access: | https://hdl.handle.net/2134/16800 |
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