Network investment under legal and ownership unbundling1
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چکیده
We consider an industry where an upstream rm determines the size of a network used by two downstream rms. We contrast ownership unbundling and legal unbundling, where the upstream rm maximizes its total pro t, including the pro t of its downstream subsidiary(ies), but does not discriminate between them. Furthermore, each downstream subsidiary maximizes its own pro t. We show that ownership separation is more detrimental to welfare than legal unbundling, whether the downstream market is perfectly competitive or not, and whether there are asymmetries in network needs across downstream rms, and downstream investments, or not.
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تاریخ انتشار 2012