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Applied Industrial Economics
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This reader provides a unique mix of American and European contributions to the study of particular markets, often combined with a critical evaluation of antitrust regulations, decisions or judgments. Part I explains market structure as a function of sunk costs and market size. Part II illustrates the central role of pricing schemes (including parallel pricing, delivered pricing and competition clauses) in sustaining equilibrium outcomes in oligopolistic markets. Parts III and IV give a game-theoretic foundation to competition policy and merger control. Louis Phlips offers a comprehensive introduction to the text in which he very carefully explains the reasoning behind his choice of papers, and provides a superb synthesis of the material. Particular highlights include the discussion and evaluation of antitrust regulations, which involve a systematic comparative analysis of European and American regulations, decisions and judgments in this area.
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