研討日期

2016723日上午10:20 ~ 12:00

研討地點

台大社會科學院710討論室

主講題目

Mixed Duopoly, Location Choice, and Shadow Cost of Public Funds

作者

Toshihiro Matsumura and Yoshihiro Tomaru

文獻出處

Southern Economic Journal 2015, 82(2), 416429

主講人

丁虹仁

參加人員

丁虹仁、張博涵、梁文榮、彭正浩、王光正、高國峯、劉乙人

摘要

We examine the relationship between equilibrium and efficient levels of product differentiation in a mixed duopoly, where a welfare-maximizing public enterprise competes with a profit maximizing private firm. We introduce shadow costs of public funding (i.e., the excess burden of taxation). The profits of public firms obtained by the government reduce these costs. We find that in a mixed duopoly, the level of product differentiation is too low for social welfare.

This result is in sharp contrast to the private oligopoly, where the level of product differentiation is too high. Finally, we show that when the shadow cost is high, privatizing the public enterprise improves welfare.