In this paper we specify and estimate a structural model of competition for the European airline industry to assess the potential for price reductions if competition increases. The model has two distinguishing features: First, we allow for firms to make short- and long-run decisions by...

The deregulation of the telecommunications industry has resulted in a variety of industry structures which have been created in the hope of increasing competition. One example is the licensing of cellular telephone services in the United States. In the face of scarce radio spectrum, the Federal...

The literature on research joint ventures (RJVs) has emphasized internalizing spillovers and cost-sharing as motives for RJV formation. In this paper we develop two additional explanations: product market complementarities and firm heterogeneity. We analyse a model of RJVs with asymmetric firms...