TY - JOUR
T1 - Content protection and oligopolistic interactions
AU - Krishna, Kala
AU - Itoh, Motoshige
N1 - Funding Information:
Acknowledgement. Support from the Clark Fund and the Center for International Affairs at Harvard University is gratefully acknowledged. We benefited from the comments of participants at the International Trade seminars at Tel Aviv, Michigan, MIT, Princeton, and the NBER Summer Institute in 1985; as well as from conversations with Susan Collins, Avinash Dixit, Vijay Krishna, and comments from an anonymous referee.
PY - 1988/1
Y1 - 1988/1
N2 - In oligopolistic situations, content protection can have unexpected effects as it changes the nature of interactions between input suppliers. With a duopoly, it does so in a manner that makes the foreign firm wish to match price increases and decreases of the domestic firm. Domestic input suppliers can therefore lose from such policies, even when set at free trade levels. The relation between input demands, the form of protection, and the degree of substitution between inputs is shown to define the effects of content protection tnd to provide the basis for understanding who might lobby for protection in different environments.
AB - In oligopolistic situations, content protection can have unexpected effects as it changes the nature of interactions between input suppliers. With a duopoly, it does so in a manner that makes the foreign firm wish to match price increases and decreases of the domestic firm. Domestic input suppliers can therefore lose from such policies, even when set at free trade levels. The relation between input demands, the form of protection, and the degree of substitution between inputs is shown to define the effects of content protection tnd to provide the basis for understanding who might lobby for protection in different environments.
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U2 - 10.2307/2297532
DO - 10.2307/2297532
M3 - Article
AN - SCOPUS:84928516195
SN - 0034-6527
VL - 55
SP - 108
EP - 125
JO - Review of Economic Studies
JF - Review of Economic Studies
IS - 1
ER -