| Article ID | Journal | Published Year | Pages | File Type |
|---|---|---|---|---|
| 981116 | Regional Science and Urban Economics | 2012 | 9 Pages |
Abstract
⺠We analyse merger incentives in a spatial competition model with complementarities. ⺠With only a two-firm merger the participants benefit more than any outsiders. ⺠This is due to the negative demand externality imposed on some of the outsiders. ⺠Subsequent mergers by these outsiders may alter the incentives for the first merger. ⺠If the number of firms is sufficiently large the disincentive to merge disappears.
Related Topics
Social Sciences and Humanities
Economics, Econometrics and Finance
Economics and Econometrics
Authors
Stefania Borla,