Talks and Poster Presentations (without Proceedings-Entry):
M. Eigruber, F. Wirl:
"EARIE 2021";
Talk: 48th Annual Conference of the European Association for Research in Industrial Economics,
Bergen/Online (invited);
2021-08-27
- 2021-08-28.
English abstract:
We investigate intertemporal strategic interactions if monopolies, cartels
or oligopolies benefit from firm-internal as well as external learning by doing. The analysis is carried out for the standard power function representation of learning cost curves and also for a linear one. The latter implies a linear-quadratic differential game with the surprising properties of (i) non-uniqueness and (ii) non-existence of equilibria. Anticipating the respective outcome, policymakers may need to steer such markets towards the social optimum, which could involve offering a limited amount of operating licenses.
Keywords:
Differential game, Competition, Externalities, Learning by doing, Markov perfect equilibrium, Solar PV.
Created from the Publication Database of the Vienna University of Technology.