Dollars and Jens

The brothers Jens talk finance, economics, and the like.

Archives
10/01/2003 - 11/01/2003
11/01/2003 - 12/01/2003
12/01/2003 - 01/01/2004
01/01/2004 - 02/01/2004
02/01/2004 - 03/01/2004
03/01/2004 - 04/01/2004
04/01/2004 - 05/01/2004
05/01/2004 - 06/01/2004
06/01/2004 - 07/01/2004
07/01/2004 - 08/01/2004
08/01/2004 - 09/01/2004
09/01/2004 - 10/01/2004
10/01/2004 - 11/01/2004
11/01/2004 - 12/01/2004
12/01/2004 - 01/01/2005
01/01/2005 - 02/01/2005
02/01/2005 - 03/01/2005
03/01/2005 - 04/01/2005
05/01/2005 - 06/01/2005
07/01/2005 - 08/01/2005
08/01/2005 - 09/01/2005
09/01/2005 - 10/01/2005
10/01/2005 - 11/01/2005
11/01/2005 - 12/01/2005
12/01/2005 - 01/01/2006
01/01/2006 - 02/01/2006
02/01/2006 - 03/01/2006
03/01/2006 - 04/01/2006
04/01/2006 - 05/01/2006
05/01/2006 - 06/01/2006
06/01/2006 - 07/01/2006
07/01/2006 - 08/01/2006
08/01/2006 - 09/01/2006
09/01/2006 - 10/01/2006
10/01/2006 - 11/01/2006
11/01/2006 - 12/01/2006
12/01/2006 - 01/01/2007
01/01/2007 - 02/01/2007
02/01/2007 - 03/01/2007
03/01/2007 - 04/01/2007
04/01/2007 - 05/01/2007
05/01/2007 - 06/01/2007
06/01/2007 - 07/01/2007
07/01/2007 - 08/01/2007
08/01/2007 - 09/01/2007
09/01/2007 - 10/01/2007
10/01/2007 - 11/01/2007
11/01/2007 - 12/01/2007
12/01/2007 - 01/01/2008
01/01/2008 - 02/01/2008
02/01/2008 - 03/01/2008
03/01/2008 - 04/01/2008
04/01/2008 - 05/01/2008
05/01/2008 - 06/01/2008
06/01/2008 - 07/01/2008
07/01/2008 - 08/01/2008
08/01/2008 - 09/01/2008
09/01/2008 - 10/01/2008
10/01/2008 - 11/01/2008
11/01/2008 - 12/01/2008
12/01/2008 - 01/01/2009
01/01/2009 - 02/01/2009
02/01/2009 - 03/01/2009
03/01/2009 - 04/01/2009
04/01/2009 - 05/01/2009
05/01/2009 - 06/01/2009
06/01/2009 - 07/01/2009
07/01/2009 - 08/01/2009
08/01/2009 - 09/01/2009
09/01/2009 - 10/01/2009
10/01/2009 - 11/01/2009
11/01/2009 - 12/01/2009
12/01/2009 - 01/01/2010
01/01/2010 - 02/01/2010
02/01/2010 - 03/01/2010
03/01/2010 - 04/01/2010
04/01/2010 - 05/01/2010
05/01/2010 - 06/01/2010
06/01/2010 - 07/01/2010
07/01/2010 - 08/01/2010
08/01/2010 - 09/01/2010
09/01/2010 - 10/01/2010
10/01/2010 - 11/01/2010
11/01/2010 - 12/01/2010
12/01/2010 - 01/01/2011
01/01/2011 - 02/01/2011
02/01/2011 - 03/01/2011
03/01/2011 - 04/01/2011
04/01/2011 - 05/01/2011
05/01/2011 - 06/01/2011
06/01/2011 - 07/01/2011
07/01/2011 - 08/01/2011
08/01/2011 - 09/01/2011
09/01/2011 - 10/01/2011
10/01/2011 - 11/01/2011
11/01/2011 - 12/01/2011
12/01/2011 - 01/01/2012
01/01/2012 - 02/01/2012
02/01/2012 - 03/01/2012
03/01/2012 - 04/01/2012
04/01/2012 - 05/01/2012
06/01/2012 - 07/01/2012
08/01/2012 - 09/01/2012
09/01/2012 - 10/01/2012
10/01/2012 - 11/01/2012
11/01/2012 - 12/01/2012
12/01/2012 - 01/01/2013
01/01/2013 - 02/01/2013
03/01/2013 - 04/01/2013
04/01/2013 - 05/01/2013
05/01/2013 - 06/01/2013
06/01/2013 - 07/01/2013
07/01/2013 - 08/01/2013
09/01/2013 - 10/01/2013
10/01/2013 - 11/01/2013
12/01/2013 - 01/01/2014
01/01/2014 - 02/01/2014
03/01/2014 - 04/01/2014
05/01/2014 - 06/01/2014
06/01/2014 - 07/01/2014
08/01/2014 - 09/01/2014
09/01/2014 - 10/01/2014
12/01/2014 - 01/01/2015
05/01/2015 - 06/01/2015
06/01/2015 - 07/01/2015
08/01/2015 - 09/01/2015
09/01/2015 - 10/01/2015
10/01/2015 - 11/01/2015
12/01/2015 - 01/01/2016
06/01/2016 - 07/01/2016
02/01/2017 - 03/01/2017
07/01/2018 - 08/01/2018
04/01/2020 - 05/01/2020
04/01/2022 - 05/01/2022
03/01/2023 - 04/01/2023

Dollars and Jens

Thursday, February 09, 2017

game theory

This might be in part because I'm teaching game theory this semester, but I look at this working paper suggesting that investment has gone down in industries that have become less competitive, and I'm struck by the idea that not only does the optimal level of capital go down if a tacit cartel forms (as production goes down), but that publicly maintaining a low level of capital could be useful in keeping a tacit cartel together; underinvesting is a commitment device, making it hard and costly to ramp up production should there be an otherwise profitable opportunity to deviate from the arrangement.

- posted by dWj @ 10:27 AM