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Referierte Aufsätze Web of Science
We analyze competition between Internet Service Providers (ISPs) where consumers demand heterogeneous content within two Quality-of-Service (QoS) regimes, Net Neutrality and Paid Prioritization, and show that paid prioritization increases the static efficiency compared to a neutral network. We also consider paid prioritization intermediated by Content Delivery Networks (CDNs). While the use of CDNs ...
In:
Information Economics and Policy
46 (2019), S. 55-67
| Pio Baake, Slobodan Sudaric
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Referierte Aufsätze Web of Science
We analyse a simple supply chain with one supplier, one retailer and uncertainty about market demand. Focusing on the incentives of the supplier and the retailer to enhance their private information about the actual market conditions, we show that choices on information acquisition are strategic complements. While the retailer’s incentives are mainly driven by the information rent that he can earn, ...
In:
The B.E. Journal of Economic Analysis & Policy
17 (2017), 1, 14 S.
| Pio Baake, Andreas Harasser, Friederike Heiny
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Referierte Aufsätze Web of Science
There is a contentious debate about the exclusionary effects of upfront payments to be made by manufacturers to place their products on retailers' shelves. Analyzing a two-stage bargaining process with one downstream retailer and a pool of upstream manufacturers, we find that upfront payments lead to a smaller assortment if the retailer's bargaining power is high enough and the suppliers' products ...
In:
Review of Industrial Organization
44 (2014), 1, S. 95-111
| Pio Baake, Vanessa von Schlippenbach
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Referierte Aufsätze Web of Science
This paper examines how delivery tariffs and private quality standards are determined in vertical relations that are subject to asymmetric information. We consider an infinitely repeated game where an upstream firm sells a product to a downstream firm. In each period, the firms negotiate a delivery contract comprising the quality of the good as well as a non-linear tariff. Assuming asymmetric information ...
In:
Journal of Economics
103 (2011), 2, S. 149-169
| Pio Baake, Vanessa von Schlippenbach
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Referierte Aufsätze Web of Science
We analyze the effects of accidents and liability obligations on the incentives of car manufacturers to monopolize the markets for their spare parts. We show that monopolized markets for spare parts lead to inefficiently high prices for spare parts. Furthermore, monopolization induces the manufacturers to choose inefficiently high qualities. The key for these results is the observation that high prices ...
In:
The B.E. Journal of Economic Analysis & Policy
10 (2010), 1, Article 36
| Pio Baake
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Referierte Aufsätze Web of Science
We model competition between two unregulated mobile phone companies with price-elastic demand and less than full market coverage. We also assume that there is a regulated full-coverage fixed network. In order to induce stronger competition, mobile companies could have an incentive to raise their reciprocal mobile-to-mobile access charges above the marginal costs of termination. Stronger competition ...
In:
Journal of Economics
96 (2009), 3, S. 241-261
| Pio Baake, Kay Mitusch
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Referierte Aufsätze Web of Science
We analyse competition between two network providers when the quality of each network depends negatively on the number of customers connected to that network. With respect to price competition we provide a sufficient condition for the existence of a unique pure strategy Nash equilibrium. Comparative statics show that as the congestion effect gets stronger quantities will decrease and prices increase, ...
In:
Journal of Economics
91 (2007), 2, S. 151-176
| Pio Baake, Kay Mitusch
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Referierte Aufsätze Web of Science
We analyze optimal income taxes with deductions for work-related or consumptive goods. We consider two cases. In the first case (called a complex tax system) the tax authorities can exactly distinguish between consumptive and work-related expenditures. In the second case (called a simple tax system) this distinction is not exact. Assuming additively separable utility functions, we show that work-related ...
In:
International Tax and Public Finance
11 (2004), 3, S. 299-312
| Pio Baake, Rainald Borck, Andreas Löffler
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Referierte Aufsätze Web of Science
The recent literature on vertical foreclosure suggests that vertical integration can have the anticompetitive effect of enabling an upstream firm to commit to restricting output to downstream firms at the monopoly level. We allow the upstream firm to make an ex-ante capital precommitment. We show that, if integration is outlawed, the upstream firm will distort capital downward as an alternative device ...
In:
International Journal of Industrial Organization
22 (2004), 2, S. 185-192
| Pio Baake, Ulrich Kamecke, Hans-Theo Normann
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Referierte Aufsätze Web of Science
In a framework with an upstream monopoly and a downstream duopoly, we analyze the impact of convex costs at the downstream level. In contrast to the case of constant marginal costs, vertical integration does not imply complete market foreclosure. While the nonintegrated downstream firm receives a strictly positive amount of the intermediate good, the downstream allocation is inefficient. However, a ...
In:
Journal of Economics
75 (2002), 2, S. 125-135
| Pio Baake, Ulrich Kamecke, Hans-Theo Normann