Innovation in medical technology has played a large role in the growth in welfare benefits and monetary costs due to health care over the last half century. Like many industries that rely on innovation, medical technology has an active market for corporate mergers and acquisitions (M&A). …Read More
In markets where consumers seek expert advice regarding purchases, firms seek to influence experts, raising concerns about biased advice. We combine a model of supply and demand with a local instrumental variables strategy based on regional spillovers from academic medical center conflict-of-interest policies. …Read More
We study the impact of regulating product entry and quality information requirements on an oligopoly equilibrium and consumer welfare. Product testing can reduce consumer uncertainty, but also increase entry costs and delay entry. …Read More
When firms span related product categories, spillovers across categories become central to firm strategy and industrial policy, due to their potential to foreclose competition and affect innovation incentives. …Read More
Innovative new products come with hope, but also risk that they will not work as well as hoped. Thus testing and monitoring are key strategic decisions of an innovative firm in any market, and in some markets these strategic decisions will be intertwined with government regulatory policy.…Read More
