Patent Licensing with Spillovers (1998)
The purpose of this paper is to study the effect of spillover on extent of licensing when cost reducing innovation is introduced and licensed to a number of oligopolistic firms. We characterize the...
An Axiomatic Approach to the Allocation of a Fixed Cost Through Prices
Leonard J. Mirman, Dov Samet, Yair Tauman
We study the allocation of fixed costs to the outputs of a multiproduct firm. First we allocate short-run fixed costs through A-S prices which allocate the long-run costs. Long-run cost functions do...
Inducing Efficiency in Oligopolistic Markets with Increasing Returns to Scale
We consider a Cournot Oligopoly market of firms possessing increasing returns to scale technologies. It is shown that an external regulating agency can increase total social welfare without running a...
Collusion in one-shot second-price auctions
Most of the literature on collusive behavior in auctions ignores two important issues that make collusion difficult to sustain at least in one-shot interactions: the detection of cheating and the...
Yair Tauman, Andriy Zapechelnyuk
We consider a bargaining problem where one of the players, the bureaucrat, has the power to dictate any outcome in a given set. The other players, the agents, negotiate with him which outcome to be...
Implementation of the Socially Optimal Outcome
We show that a welfare maximizing planner in a Cournot oligopoly can easily implement the socially optimal outcome by offering the firms a per unit subsidy in return for upfront fees. The planner...
Modest Advertising Signals Strength.
Ram Orzach, Per Baltzer Overgaard, Yair Tauman
This paper presents a signaling model where both price and advertising expenditures are used as signals of the initially unobservable quality of a newly introduced experience good. Consumers can be...
Patent Licensing: The Inside Story.
Kamien, Morton I, Tauman, Yair
In this paper we compare and contrast the most profitable modes of licensing a cost-reducing invention by an inventor who is an industry incumbent with one who is not. We find that an industry...
Network Competition and Access Charge Rules.
Doganoglu, Toker, Tauman, Yair
This paper presents a model of two competing local telecommunications networks which are mandated to interconnect. After negotiating the access charges, the companies engage in price competition....
Network Competition with Reciprocal Proportional Access Charge Rules.
This paper presents a model of two competing local telecommunications networks, similar in spirit to the model of Laffont, Rey and Tirole(1996). The networks have different attributes which we assume...
Bargaining with a Property Rights Owner
Yair Tauman, Andriy Zapechelnyuk
We consider a bargaining problem where one of the players, the intellectual property rights owner (IPRO) can allocate licenses for the use of this property among the interested parties (agents). The...
The case of a strong contestant who has no direct way to demonstrate its strength and may have to send a costly signal to prove it appears frequently in the signaling literature. The authors examine...
Market Crashes Without External Shocks
It is shown here that market crashes and bubbles can arise without external shocks. Sudden changes in behavior coming after a long period of stationarity may be the result of endogenous information...
Modest Advertising Signals Strength
Orzach, Ram, Overgaard, Per Baltzer, Tauman, Yair
We reexamine the role of prices and advertising expenditures as signals of quality. Consumers are either ``fastidious'' or ``indifferent.'' Fastidious individuals value high quality more and low...
Supportability, Sustainability, and Subsidy-Free Prices
Leonard J. Mirman, Yair Tauman, Israel Zang
This article studies the relationships among the concepts of subsidy-free prices, anonymously equitable prices, supportability, and sustainability. In particular, we set out conditions under which...
General licensing schemes for a cost-reducing innovation
Two general forms of standard licensing policies are considered for a non-drastic cost-reducing innovation: (a) combination of an upfront fee and uniform linear royalty, and (b) combination of...
The Shapley Value of a Patent Licensing Game: the Asymptotic Equivalence to Non-cooperative Results
Patent licensing, Max–min and Min–max, Shapley value, PD45, D43, C71,
Market Crashes without External Shocks
It is shown that market crashes and bubbles can arise without external shocks. Sudden changes in behavior coming after a long period of stationarity may be the result of endogenous information...