Welfare reducing vertical integration in a bilateral monopoly under Nash bargaining
(2024)
Journal Article
Mukherjee, A., & Sinha, U. B. (2024). Welfare reducing vertical integration in a bilateral monopoly under Nash bargaining. Journal of Public Economic Theory, 26(3), Article e12701. https://doi.org/10.1111/jpet.12701
We consider a bilateral monopoly where a linear input price is determined by Nash bargaining. We show with an increasing marginal cost of input production that vertical integration reduces consumer surplus and welfare compared to bilateral monopoly i... Read More about Welfare reducing vertical integration in a bilateral monopoly under Nash bargaining.