Competition and Cascades in Markets: an Agent-Based Model of endogenous Mergers
نویسندگان
چکیده
We present an agent-based model of endogenous merger formation in a market with turnover of market participants. We describe the dynamics of the model and identify the conditions under which market competition is sufficiently disrupted to prompt extended periods during which mergers are desirable. We also demonstrate how merger waves can be triggered by industry shocks and firm overconfidence. Keywords— Cournot competition, agent-based simulation, endogenous mergers, emergent behaviour, merger waves. JEL Classification Codes— C63, D21, G34. 1This work was supported by an EPSRC Doctoral Training Centre grant (EP/G03690X/1).
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ورودعنوان ژورنال:
- Int. Syst. in Accounting, Finance and Management
دوره 20 شماره
صفحات -
تاریخ انتشار 2013