Focusing on the oligopoly problem, this book presents a modern game-theoretic framework for understanding pricing in markets with few competitors. Xavier Vives connects classic economic theories with contemporary game theory, emphasizing supermodular games. The text offers a detailed analysis of static models, existence results, and equilibrium characterizations, while also exploring commitment issues, entry strategies, and collusion through advanced concepts like asymmetric information and dynamic games, including Markov perfect equilibrium.
"Does too much competition in banking hurt society? What policies can best protect and stabilize banking without stifling it? Institutional responses to such questions have evolved over time, from interventionist regulatory control after the Great Depression to the liberalization policies that started in the United States in the 1970s. The global financial crisis of 2007-09, which originated from an oversupply of credit, once again raised questions about excessive banking competition and what should be done about it. Competition and Stability in Banking addresses the critical relationships between competition, regulation, and stability, and the implications of coordinating banking regulations with competition policies. Xavier Vives argues that while competition is not responsible for fragility in banking, there are trade-offs between competition and stability. Well-designed regulations would alleviate these trade-offs but not eliminate them, and the specificity of competition in banking should be accounted for. Vives argues that regulation and competition policy should be coordinated, with tighter prudential requirements in more competitive situations, but he also shows that supervisory and competition authorities should stand separate from each other, each pursuing its own objective. Vives reviews the theory and empirics of banking competition, drawing on up-to-date analysis that incorporates the characteristics of modern market-based banking, and he looks at regulation, competition policies, and crisis interventions in Europe, the United States, as well as emerging economies. Focusing on why banking competition policies are necessary, Competition and Stability in Banking examines regulation's effect on the industry's efficiency and effectiveness."-- Provided by publisher
Exploring how markets aggregate information among rational participants, this book presents a comprehensive analysis of various theories, including insights from the author's recent research. Utilizing straightforward methods and linear-quadratic models, it effectively communicates complex concepts in a manner accessible to nonspecialists, making it a valuable resource for those interested in market dynamics and information theory.
Focusing on corporate governance, this volume compiles both theoretical frameworks and empirical studies, providing a comprehensive overview of the subject. It explores various governance models, their implications for organizational performance, and the evolving landscape influenced by regulatory changes and market dynamics. The research presented aims to enhance understanding of governance mechanisms and their impact on corporate behavior, making it a valuable resource for scholars and practitioners alike.
