• Media type: E-Book
  • Title: Cartel Stability with Time-Dependent Detection Probabilities
  • Contributor: Hinloopen, Jeroen [Author]
  • Published: [S.l.]: SSRN, 2004
  • Extent: 1 Online-Ressource (22 p)
  • Language: English
  • DOI: 10.2139/ssrn.488662
  • Identifier:
  • Origination:
  • Footnote: Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments December 2003 erstellt
  • Description: To account for the illegal nature of price-fixing agreements, detection probabilities are introduced in a dynamic oligopoly. It follows that for a trigger strategy to sustain a non-cooperative collusive equilibrium as a SPNE both the discount rate and all per-period detection probabilities have to be "low enough." Also, the domain reduces for which strictest incentive compatibility constraint is binding of the concomitant non-stationary supergame if (i) any per-period detection probability increases, (ii) prospective fine payments are increased, (iii) the period of limitation is reduced for violating antitrust laws
  • Access State: Open Access