We develop a two-stage game with vertically differentiated products and endogenous environmental quality to study unilateral carbon pricing and the Carbon Border Adjustment Mechanism (CBAM). A home EU firm and a foreign exporter choose environmental quality, then compete in prices. Under unilateral pricing, only the ho...
Subhadip Ghosh, A. Sen, Arka Mukherjee· Games· 0 citations
We study a Cournot industry in which the state holds equity stakes in competing firms and thereby acts as a common shareholder. The government’s objective combines the return on its public portfolio with consumer surplus, while firms aggregate private and public-owner objectives according to ownership weights. The mode...
Constantin Colonescu, Subhadip Ghosh· Journal of Industry, Competi...· 0 citations
This paper studies the interaction between status incentives and organizational design in a two-agent moral hazard framework with limited liability. A risk-neutral principal chooses between two regimes: favouritism, under which one agent receives exclusive decision rights and status recognition for successful project i...