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Superstar Firms and Market Power: Welfare Consequences and Antitrust Implications

Research Project

Project/Area Number 19K13681
Research Category

Grant-in-Aid for Early-Career Scientists

Allocation TypeMulti-year Fund
Review Section Basic Section 07040:Economic policy-related
Research InstitutionOsaka University

Principal Investigator

PAN LIJUN  大阪大学, 社会経済研究所, 招へい教員 (70784320)

Project Period (FY) 2019-04-01 – 2023-03-31
Project Status Completed (Fiscal Year 2022)
Budget Amount *help
¥1,820,000 (Direct Cost: ¥1,400,000、Indirect Cost: ¥420,000)
Fiscal Year 2020: ¥910,000 (Direct Cost: ¥700,000、Indirect Cost: ¥210,000)
Fiscal Year 2019: ¥910,000 (Direct Cost: ¥700,000、Indirect Cost: ¥210,000)
KeywordsMarket structure / Superstar firms / Firm heterogeneity / Merger / market structure / merger / strategic inattention / firm heterogeneity / heterogeneous firms / superstar firms / market power / antitrust
Outline of Research at the Start

We establish a theoretical framework to examine the market power of superstar firms and analyze antitrust policies, allowing for the strategic interactions among superstar firms and their impact on small firms. We pay special attention to merger in a generalized model and entry with income effects.

Outline of Final Research Achievements

1. I have published three papers in refereed journals. (1) The paper entitled "An Assignment Model with Local Constraints: Competitive Equilibrium and Ascending Auction" was published in Economics Letters in 2020;(2) The paper entitled "Competition among Large and Heterogeneous Small Firms" was published in Economics Letters in 2020; (3) The paper entitled "The Broker-Optimal Bilateral Trading Mechanisms with Linear Contracts" was published in Economics Letters in 2021.
2. I have published a discussion paper: "Horizontal Merger Analysis with Endogenous Product Range Choice," ISER Discussion Paper No. 1162, 2022.
3. Oral presentation in international conferences and workshops: (1) European Summer Meeting of Econometric Society, 2019, 8; (2) European Association of Research in Industrial Economics, 2019.8; (3) Asia-Pacific Industrial Organisation Conference, 2019.12, Tokyo, Japan; (4)European Summer Meeting of Econometric Society, 2021, 8.

Academic Significance and Societal Importance of the Research Achievements

Despite abundant empirical evidence, we are lacking in a comprehensive study on the market with superstar and small firms. I established a theoretical framework with firm heterogeneity and examined the impact of merger among superstar firms, which provided implications on antitrust policies.

Report

(5 results)
  • 2022 Annual Research Report   Final Research Report ( PDF )
  • 2021 Research-status Report
  • 2020 Research-status Report
  • 2019 Research-status Report
  • Research Products

    (9 results)

All 2022 2021 2020 2019

All Journal Article (3 results) (of which Int'l Joint Research: 3 results,  Peer Reviewed: 3 results) Presentation (6 results) (of which Int'l Joint Research: 6 results)

  • [Journal Article] The broker-optimal bilateral trading mechanisms with linear contracts2021

    • Author(s)
      Lijun Pan, Dazhong Wang
    • Journal Title

      Economics Letters

      Volume: 208 Pages: 1-6

    • DOI

      10.1016/j.econlet.2021.110055

    • Related Report
      2021 Research-status Report
    • Peer Reviewed / Int'l Joint Research
  • [Journal Article] Competition among large and heterogeneous small firms2020

    • Author(s)
      Lijun Pan, Yongjin Wang
    • Journal Title

      Economics Letters

      Volume: 196 Pages: 1-6

    • DOI

      10.1016/j.econlet.2020.109604

    • Related Report
      2020 Research-status Report
    • Peer Reviewed / Int'l Joint Research
  • [Journal Article] An assignment model with local constraints: Competitive equilibrium and ascending auction2020

    • Author(s)
      Lijun Pan, Linyu Peng, Yu Zhou
    • Journal Title

      Economics Letters

      Volume: 188 Pages: 1-4

    • DOI

      10.1016/j.econlet.2019.108905

    • Related Report
      2019 Research-status Report
    • Peer Reviewed / Int'l Joint Research
  • [Presentation] Horizontal Merger Analysis with Endogenous Product Range Choice2022

    • Author(s)
      Nisvan Erkal
    • Organizer
      Asia-Pacific Industrial Organisation Conference
    • Related Report
      2022 Annual Research Report
    • Int'l Joint Research
  • [Presentation] Endogenous Market Structures with Strategic Inattention2021

    • Author(s)
      Lijun Pan
    • Organizer
      The European Association for Research in Industrial Economics
    • Related Report
      2021 Research-status Report
    • Int'l Joint Research
  • [Presentation] Horizontal Merger Analysis with Endogenous Product Range Choice2021

    • Author(s)
      Nisvan Erkal
    • Organizer
      International Industrial Organization Conference (IIOC)
    • Related Report
      2020 Research-status Report
    • Int'l Joint Research
  • [Presentation] Horizontal merger analysis with endogenous product range choice2019

    • Author(s)
      Lijun Pan
    • Organizer
      European Economic Association (EEA) 2019
    • Related Report
      2019 Research-status Report
    • Int'l Joint Research
  • [Presentation] Horizontal merger analysis with endogenous product range choice2019

    • Author(s)
      Lijun Pan
    • Organizer
      European Association for Research in Industrial Economics (EARIE) 2019
    • Related Report
      2019 Research-status Report
    • Int'l Joint Research
  • [Presentation] Horizontal merger analysis with endogenous product range choice2019

    • Author(s)
      Lijun Pan
    • Organizer
      Asia Pacific Industrial Organisation Conference
    • Related Report
      2019 Research-status Report
    • Int'l Joint Research

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Published: 2019-04-18   Modified: 2024-01-30  

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