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The relationship between Account Receivable Days and Credit Policy

I am wondering if credit policy relaxation affects the account receivable days when markets becoming more competitive. Conventional wisdom suggested that the credit policy relaxation will lead to &...
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Merge as a solution to externality

Can anyone mathematically, with any example, say, how can merging internalize the externality?
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Suppose our utility function is the usual CRRA utility with $\gamma=2$ so that: $$u(C) = \frac{C^{1-\gamma}}{1-\gamma} = -\frac{1}{C}$$ Now suppose there are 2 goods, A and B, available for ...