In two-sided markets a platform allows consumers and sellers to interact by creating sub-markets within the platform marketplace. For example, Amazon has sub-markets for all of the different product categories available on its site, and smartphones have sub-markets for different types of applications (gaming apps, weather apps, map apps, ridesharing apps, etc.). The network benefits between con...

Price transmission is a critically important issue that affects market enlargement and the unification of Canadian–U.S. agriculture. This study adopts alternative frameworks to examine the nature of cross-border integration in selected meat and livestock markets. The aim is to determine the extent to which selected meat and livestock markets transmit price signals across the international borde...

This paper reviews the economic, political science/strategic, business and operational literatures on complex product innovation in government markets. It categorizes their insights in terms of the sources of innovation they identify – civilian leadership, bureaucratic politics, new technologies and user innovations – to illustrate the overlap among the disciplinary insights. It argues that pas...

Product replacement plays a critical role in many high-tech durable goods markets. Since these markets frequently undergo both rapid improvements in quality and falling prices, the consumer's replacement decision is most often due to product obsolescence, as opposed to wear and tear. Despite its importance, this issue has received insufficient attention in the literature, especially from an emp...

I study two-sided markets where the platform is composed of components supplied by di¤erent producers. I examine a producer’s incentive to provide compatibility of its product with other suppliers’. Two models are considered. In the …rst model, I …nd that tying of a complementary product may be pro…table. In the second model, I …nd that a durable goods monopolist’s introduction of incompatibili...

We develop a general-equilibrium model to capture key features of the retailing and of the manufacturing industry in order to understand how these two industries interact and how labor is allocated between them. We show that the observed shift in employment from manufacturing to retailing, the rise in retailer product assortment and the emergence of slotting allowances in many retail markets ar...

We explore mechanisms driving enforcement spillovers when sanctions at one entity influence behavior at other entities. Our model illustrates when spillovers arise from a regulatory channel and when they arise from a channel not emphasized in the existing literature: product markets. Using facility-by-month data from Clean Water Act manufacturers, we find that penalties generate strong positive...

We consider a multimarket framework where a set of firms compete on two interrelated oligopolistic markets. Prior to competing in these markets, firms can spy on others in order to increase the quality of their product. We characterize the equilibrium espionage networks and networks that maximize social welfare under the most interesting scenario of diseconomies of scope. We find that in some s...

We consider a multimarket framework where a set of firms compete on two interrelated oligopolistic markets. Prior to competing in these markets, firms can spy on others in order to increase the quality of their product. We characterize the equilibrium espionage networks and networks that maximize social welfare under the most interesting scenario of diseconomies of scope. We find that in some s...

This paper is concerned with product quality, defined as a kind of durability. Existing models of product quality (in the sense considered here) depend on the idea of signaling, itself driven by an informational asymmetry dictated by “Nature.” The paper proposes an alternative approach, which endogenizes the quality management process. A model is developed that is applicable to the markets for ...