Mergers in open economies
Article Abstract:
A study was conducted to examine the role of merger policies in an open economy using a partial equilibrium framework of Cournot oligopolists with various technologies. The impact of trade liberalization on the profitability of mergers was analyzed. Events under which a merger will support the joint profits of participating companies and global welfare were also examined. Results indicated two implications of trade liberalizations on the profitability of mergers.
Publication Name: World Economy
Subject: Economics
ISSN: 0378-5920
Year: 1998
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Competition and trade in services: the airlines' global alliances
Article Abstract:
A study was conducted to examine the joint operation of Lufthansa, Air Canada, Scandinavian Airlines System, Thai Airways International and United Airlines called 'Star Alliance,' which represents more than 14% of the international market in airline transportation. Results indicated that joint operation was more of a device that allowed major airlines to increase their market share and realize total market control within a regulatory framework.
Publication Name: World Economy
Subject: Economics
ISSN: 0378-5920
Year: 1998
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