Chapter 3 – GI Club Statics (Quality Exogenous to the Firm)

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5 avril 2013

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OpenEdition Books

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https://creativecommons.org/licenses/by-nc-nd/4.0/ , info:eu-repo/semantics/openAccess




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Daniela Benavente, « Chapter 3 – GI Club Statics (Quality Exogenous to the Firm) », Graduate Institute Publications, ID : 10.4000/books.iheid.654


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3.1. Abstract In this chapter, the same model outlined in the previous chapter is developed in a static framework to determine the optimal size of the GI club, in terms of output, membership, and its optimal financing. The model considers the reputation of the GI as a localized club asset for the firm, with partial exclusion (outsiders to the GI region are excluded from its benefits) and no, or partial, rivalry in benefits among insiders. It is shown that under partial rivalry in benefits, bo...

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