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논문 기본 정보

자료유형
학술대회자료
저자정보
Yang Seung Lee (Kunsan National University)
저널정보
한국산업경제학회 한국산업경제학회 정기학술발표대회 초록집 한국산업경제학회 2013년도 춘계국제학술발표대회 논문집
발행연도
2013.5
수록면
373 - 383 (11page)

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초록· 키워드

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In many cases, a construction firm’s profit depends on handling costs for unwanted byproducts, created from performing a construction project. A firm can get closer to an executive office with shrewd ideas that a responsibility of treating harmful wastes can be waived. This lobby even can lift a probability of participating in any public procurement project. When a firm attempts to hang around an executive office to gain excessive profits, a cost is required. There is a tradeoff between excessive profits and costs in lobbying an executive. Not surprisingly, rivalries would have similar ideas. As more firms act to gain excessive profits, a lobby has properties of simultaneous game. Furthermore, this simultaneous game should become dynamic if a firm’s profit is damaged for good when the lobby is detected. We will show that a firm is actually optimizing a level of involvement in lobby on the basis of expected discounted profits, obtainable during an entire life of firm. Accordingly, a Nash equilibrium level of spending on lobby and expected discounted profit are determined. In last, we provide some implication about a level of penalty for committed illegal lobbies and discuss how this penalty can prevent firms from attempting to illegally lobby an executive.

목차

1. Introduction
2. Model
3. Expected Discounted Total Profit
4. Lobby and Competition
5. Conclusion
References

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