Rival views of economic competition

Economic Organization and Competition Policy

Political Competition in Economic Perspective

It is sometimes argued that political competition yields benefits to the citizens just as competition in economic markets yields benefits to consumers. We consider the economic costs and benefits of political competition and find that the story is somewhat more complicated. We first review the limited existing literature on this topic, and in the process, identify a number of distinct interpret...

Economic geography with tariff competition

A simple two-country model of economic geography is constructed in order to examine the effect of tariff competition on the spatial distribution of manufacturing activities as well as on welfare. We show that when the transport cost is sufficiently small, tariff competition with firm migration leads to a core-periphery economy, where one of the two countries imposes no tariff in Nash equilibriu...

The Mexican Economic Crisis: Alternative Views

Economic Review 21 ew economic events succeed in capturing the sustained attention of both economic practitioners—policymakers, business economists, and press commentators—and academic economists. The ongoing economic crisis in Mexico is one of those events. Since the crisis broke out in December 1994, it has been the subject of innumerable newspaper and magazine articles as well as a large num...

Rival Reactions

Mergers and acquisitions (M&As) are major events, reshaping competition among related firms (traditionally called rivals). Despite their seeming importance, most M&A studies have found only a limited empirical impact on rival stock prices. Our paper revisits this issue using a novel approach to characterize the degree of interactions among related firms based on their stock return correlations ...