Strategic Accessibility Competition
Research, Preprint, Book, Article
- Publisher: Dipartimento di Scienze economiche DSE
TRANSPORT COSTS | L90 | VERTICAL DIFFERENTIATION | Quaderni - Working Paper DSE | SECS-P/01 Economia politica | L13 | R42 | ACCESSIBILITY INVESTMENT | Accessibility Investment; Vertical Differentiation; Transport Costs
We analyze the effect of competition in market-accessibility enhancement among quality-differentiated firms. Firms are located in regions with different ex-ante transport costs to reach the final market. We characterize the equilibrium of the two-stage game in which fir...