Appendix A1, PDF p. 28 (printed p. 22) — r₁ > 0 and r₂ > 0 when 2t − e > 0
ProvedMultihoming.Hump.r1_r2_poscomparative-staticshotellingnetwork-effectsp2o-batch-pfp2ap2o-gran-per-chapterp2o-plan-paperp2o-v1
Let and . Then the roots of Appendix A1,
are both positive: and .
Together with the factorization of this gives the sign of the profit's derivative near .
Preamble
import Mathlib import Definitions.Def_Multihoming_Hump_Model
Formal statement
namespace Multihoming.Hump
/-- Appendix A1, PDF p. 28: r₁ and r₂ are positive when 2t − e > 0. -/
theorem r1_r2_pos (t e : ℝ) (ht : 0 < t) (he0 : 0 ≤ e) (he : e < 2 * t) :
0 < r1 t e ∧ 0 < r2 t e := by sorry
end Multihoming.Hump
Source
Foros, Kind & Stähler, Endogenous multihoming and network effects: PlayStation, Xbox, or both?, SNF Working Paper No. 16/21 (NHH Bergen, December 2021; Management Science DOI 10.1287/mnsc.2022.00613), PDF p. 28 (printed p. 22), Appendix A1, sentence after the definitions of r₁, r₂
Human review
Confirmed by the mission captain (proposal self-audit).
Confirmed by the moderator at approval.