This paper starts from a recent case to study how merger analysis in Europe may potentially be improved through simulation analysis. Starting from the geographic market definition in the Merger Decision, we formulate and estimate an oligopoly model with differentiated products. The model is simulated to account for the changed multiproduct ownership structure after the merger. We show how our f...

Industrial engineering is concerned with analysis, design, and implementation of systems through optimal use of resources—human, material, energy, information, and financial. Systems may range from small units to extremely large operations. In order to accomplish these activities, the industrial engineer must be skilled in mathematics, physical sciences, management, and human relations as well ...

We discuss superstatistics theory of labour productivity. Productivity distribution across workers, firms and industrial sectors are studied empirically and found to obey powerdistributions, in sharp contrast to the equilibrium theories of mainstream economics. The Pareto index is found to decrease with the level of aggregation, i.e., from workers to firms and to industrial sectors. In order to...

This paper investigates the recently-practiced method of taxing hardware and transferring the proceeds to software makers, or artists in general. We demonstrate that this policy of compensating copyright owners for infringements on their intellectual property using hardware taxation is inefficient. Presented at the conference “Competition Strategies and Competition Policy in the Information Eco...

We use theory of Industrial Organization to demonstrate the demand and cost conditions on entry and scaling incentives of Internet overlay networks, restricting the problem to Internet content distribution. We describe the market structure, the nature of demand and the cost-allocation mechanism in both wholesale and retail markets. We show how the end-to-end coordination failures of the ISPs an...

on an earlier version are acknowledged with gratitude. 1 North (1981, p. 166) comes close to linking the institutional changes of the late eighteenth century with the Industrial 1 Revolution when he maintains that it was explained by " a combination of better-specified and enforced property rights and increasingly efficient and expanding markets. " North and Weingast (1989, p. 831) are more pru...

T paper provides a critical review of analytic research on the business economics of product reuse inspired by industrial practice. Insights and critical assumptions are provided for each paper. We further classify the research into four streams: industrial engineering/operations research, design, strategy, and behavioral, and present a framework linking these streams. We find that some modelin...