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| Author: | Elliott, S. R. Godby, R. Brown Kruse, J. |
| Title: | An experimental examination of vertical control and cost predation |
| Journal: | International Journal of Industrial Organization
2003 : FEB, VOL. 21:2, p. 253-281 |
| Index terms: | Market research Costs |
| Freeterms: | Cost predation Dominant firm Vertical control Market experiments |
| Language: | eng |
| Abstract: | The authors use laboratory experimental methods to examine three questions: (!) Is anti-competitive behaviour by a dominant firm in input markets an observable behaviour? (2) Is cost predation an observable laboratory phenomenon? and (3) If such behaviours are observed, what are the efficiency consequences? Results of this dominant firm experiments indicate that all three questions can be answered in the affirmative, and negative efficiency consequences can be profound. |
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