Andrea Galeotti, Benjamin Golub, Sanjeev Goyal, Eduard Talamàs, Omer Tamuz
arXiv 5 Nov 2024 · Theoretical Economics
arXiv:2411.03026 · PDF · Extracted main text
When can interventions in markets be designed to increase surplus robustly -- i.e., with high probability -- accounting for uncertainty due to imprecise information about economic primitives? In a setting with many strategic firms, each possessing some market power, we present conditions for such interventions to exist. The key condition, recoverable structure, requires large-scale complementarities among families of products. The analysis works by decomposing the incidence of interventions in terms of principal components of a Slutsky matrix. Under recoverable structure, a noisy signal of this matrix reveals enough about these principal components to design robust interventions. Our results demonstrate the usefulness of spectral methods for analyzing imperfectly observed strategic interactions with many agents.
appendix boundary found by appendix_command · 73% of the source is main text. Read the extracted text to check this.
The works this paper leans on most, across its whole bibliography — not restricted to papers in our corpus. Ranked by composite intensity, which combines how often a work is mentioned, how many sections mention it, and how much of that falls in the main text rather than the appendix.
| Reference | Intensity | Mentions | Sections | Main text | |
|---|---|---|---|---|---|
| 1 | Pellegrino, B (2021) Product Differentiation and Oligopoly: a Network Approach, Working paper, University of Maryland | 0.874 | 8 | 2 | 100% |
| 2 | Ederer, F. and B. Pellegrino (2021) A Tale of Two Networks: Common Ownership and Product Market Rivalry, Working paper, University of Maryland | 0.811 | 4 | 2 | 100% |
| 3 | Miklos-Thal, J. and G. Shaffer (2021) Pass-through as an economic tool: on exogenous competition, social incidence, and price discrimination | 0.644 | 2 | 2 | 100% |
| 4 | Vives, X (1999) Oligopoly pricing: old ideas and new tools | 0.644 | 2 | 2 | 100% |
| 5 | Lancaster, K. J (1966) A new approach to consumer theory | 0.585 | 3 | 1 | 100% |
| 6 | Dallaporta, S (2012) Eigenvalue variance bounds for Wigner and covariance random matrices | 0.511 | 2 | 2 | 50% |
| 7 | Azar, J. and X. Vives (2021) General equilibrium oligopoly and ownership structure | 0.511 | 2 | 1 | 100% |
| 8 | Nocke, V. and N. Schutz (2017) Quasi-linear integrability | 0.511 | 2 | 1 | 100% |
| 9 | Ballester, C., A. Calvó-Armengol, and Y. Zenou (2006) Who's who in Networks | 0.405 | 1 | 1 | 100% |
| 10 | Belhaj, M. and F. Deroian (2017) Contracting on Networks, Mimeo | 0.405 | 1 | 1 | 100% |
Showing the top 10 of 64 scored citations.