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Delegation in a Vertically Differentiated Duopoly

โœ Scribed by Fatima Barros; Isabel Grilo


Book ID
108550255
Publisher
John Wiley and Sons
Year
2002
Tongue
English
Weight
187 KB
Volume
70
Category
Article
ISSN
1463-6786

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A differentiated Cournot duopoly is considered where firm owners delegate the output decision to a manager, who is rewarded on the basis of his performance. If this performance is measured in terms of (i) pure profits, (ii) a combination of profits and sales, (iii) a combination of profits and marke