Upstream collusion with down stream compensation

Streaming Media

Organizer

Department of Economics, Lingnan University

Document Type

Public Seminar

Date

1-26-2021

Time

10:30 a.m. -- 12:00 p.m.

Department

Economics

Description

Many cartels exist in supply chains with powerful buyers. These buyers have incentive and information to report the cartels to the antitrust authorities or sue the cartel members. Therefore, successful upstream collusions not only need to prevent the collusive members from deviating, but also have to compensate the downstream firms. Using repeat game, this paper studies the stability of upstream collusion, taking into account the downstream compensation. Different from the standard collusion theory, the relationship between cartel incidence and market concentration is likely to be nonmonotonic, or it is the inverted U-shape.

Language

English

Additional Information

Speaker Biography

Zhiyong Yao, Associate Professor of Economics, School of Management, Fudan University. He’s got his BA and MA from Beijing University, PhD from UCLA. He studies and teaches Industrial Economics, Managerial Economics, and Financial Economics. He’s published in academic Journals, such as Rand Journal of Economics, Journal of Mathematical Economics, etc.


Recommended Citation

Yao, Z. (2021, January 26). Upstream collusion with down stream compensation [Video podcast]. Retrieved from https://commons.ln.edu.hk/videos/853/

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