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Vertical Integration and Shared Facilities in Unregulated Industries

Felipe Balmaceda(University of Chile), Eduardo Saavedra(Georgetown University/Ilades) ()
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Felipe Balmaceda(University of Chile), Eduardo Saavedra(Georgetown University/Ilades): Georgetown University/Ilades M.A. Program in Economics, Santiago, Chile

Authors registered in the RePEc Author Service: Eduardo Saavedra and Felipe Balmaceda ()

Working Papers from Georgetown University, Department of Economics

Abstract: In this paper we consider a market situation in which initially there is an unintegrated monopoly upstream that owns an essential facility and two downstream firms. Then the market is liberalized allowing upstream entry and vertical integration. The equilibrium entry mode--sharing the incumbent facility or building a new facility--is derived as well as the equilibrium market structure. Several policy prescriptions are set forth.

Keywords: Essential facilities; shared-facility agreements; Vertical integration; Strategic substitutes (search for similar items in EconPapers)
JEL-codes: D43 D61 L13 L22 L41 L42 (search for similar items in EconPapers)
Date: 2004-04-13
New Economics Papers: this item is included in nep-com, nep-ind and nep-mic
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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Related works:
Journal Article: VERTICAL INTEGRATION AND SHARED FACILITIES IN UNREGULATED INDUSTRIES (2007) Downloads
Working Paper: Vertical Integration and Shared Facilities in Unregulated Industries (2004) Downloads
Working Paper: Vertical Integration and Shared Facilities in Unregulated Industries (2004) Downloads
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Persistent link: https://EconPapers.repec.org/RePEc:geo:guwopa:gueconwpa~04-04-13

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