Heterogeneous firms can always collude on a minimum price

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Heterogeneous Firms Can Always Collude on a Minimum Price∗

When firms are heterogeneous, there may not exist a common collusive price that raises all firms’profits. However it is shown that there always exists a common minimum price that raises all firms’profits.

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ژورنال

عنوان ژورنال: Economics Letters

سال: 2016

ISSN: 0165-1765

DOI: 10.1016/j.econlet.2015.11.020