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It has been long recognized that an exhaustible-resource monopsonist faces a commitment problem similar to that of a durable-good monopolist. Indeed, Hörner and Kamien (2004) demonstrate that the two problems are formally equivalent under full commitment. We show that there is no such equivalence in the absence of commitment. The existence of a choke price at which the monopsonist adopts the su...
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ژورنال
عنوان ژورنال: Theoretical Economics Letters
سال: 2011
ISSN: 2162-2078,2162-2086
DOI: 10.4236/tel.2011.13013