Market Size, Technology Choice, and Market Structure

2002 ◽  
Vol 3 (1) ◽  
pp. 25-41 ◽  
Author(s):  
Walter Elberfeld ◽  
Georg Götz
Keyword(s):  
Market Structure ◽  
Large Scale ◽  
Monopolistic Competition ◽  
Product Variety ◽  
Market Size ◽  
Technology Choice ◽  
Structural Effects ◽  
Aggregate Output ◽  
Number Of Firms

Abstract We introduce technology choice into a model of monopolistic competition and analyze the structural effects of changes in market size. A larger market leads to the adoption of a large-scale technology. If a technology switch occurs, the number of firms decreases, and a rationalizing effect arises: individual and aggregate output increases; prices fall. This need not benefit consumers since a technology switch is associated with a decrease in product variety.

Responses to rival exit: Product variety, market expansion, and preexisting market structure

2018 ◽  
Vol 40 (2) ◽  
pp. 253-276 ◽  
Author(s):  
Charlotte R. Ren ◽  
Ye Hu ◽  
Tony H. Cui
Keyword(s):  
Market Structure ◽  
Product Variety ◽  
Market Expansion

scholarly journals Analysis of Market Structure-Conduct-Performance of Gurame Fish (Osphonemus gouramy) in Kediri Regency

2019 ◽  
Vol 006 (02) ◽  
pp. 134-148
Author(s):  
BJ. Al-Baiquni ◽  
Keyword(s):  
Market Structure ◽  
Large Scale ◽  
Sampling Techniques ◽  
Barriers To Entry ◽  
Snowball Sampling ◽  
Accounts Payable ◽  
Marketing Activities ◽  
And Performance ◽  
Marketing Margins

The role of marketing institutions is important for conducting marketing activities, so that research has a purpose for: 1) knowing the market structure of gurame fish, 2) describing the behavior of gurame fish marketing institutions, 3) knowing the performance of marketing institutions for gurame fish in Kediri Regency. Type of research is descriptive using analysis of structure, conduct, and performance. Sampling techniques using purposive sampling and snowball sampling techniques, data collection techniques by observation, direct interviews and documentation. The results of the study are based on market structure that is influenced by the number of sellers and buyers, barriers to entry and exit markets, and market information indicating that the formed market structure is oligopoly; There are still many marketing agency behaviors that harm several parties in marketing such as accounts payable, and other fraudulent practices; The marketing of gurame fish in Kediri Regecy cannot be said to be efficient because of the uneven distribution of marketing margins, costs, and profits of each institution, as well as the high margin value, costs, and profits from one of the marketing institutions, large-scale collectors.

Unbundling Production with Decreasing Average Costs

2019 ◽  
Vol 20 (1) ◽  
Author(s):  
Oriol Carbonell-Nicolau
Keyword(s):  
Market Structure ◽  
Market Efficiency ◽  
Distribution Network ◽  
Unit Price ◽  
Variable Cost ◽  
Fixed Cost ◽  
Deadweight Loss ◽  
Cost Of Production ◽  
Downstream Market ◽  
Number Of Firms

AbstractThis paper argues that, even in the presence of decreasing average costs of production, monopolies can sometimes be avoided in the interest of market efficiency. It is shown that under certain conditions on the variable cost of production, there is an alternate, viable market structure that reduces the well-known deadweight loss of monopoly: an “upstream” market in which one or more firms own and share the fixed cost of creating and maintaining a distribution network, and a “downstream” market populated by a large number of firms that are charged a unit price for the network’s usage.

scholarly journals MONETARY POLICY AND ENDOGENOUS MARKET STRUCTURE IN A SCHUMPETERIAN ECONOMY

2014 ◽  
Vol 20 (5) ◽  
pp. 1127-1145 ◽  
Author(s):  
Angus C. Chu ◽  
Lei Ji
Keyword(s):  
Economic Growth ◽  
Monetary Policy ◽  
Interest Rate ◽  
Market Structure ◽  
Firm Size ◽  
Growth Effect ◽  
Nominal Interest Rate ◽  
Long Run ◽  
Endogenous Market Structure ◽  
Number Of Firms

This study develops a monetary Schumpeterian model with endogenous market structure (EMS) to explore the effects of monetary policy on the number of firms, firm size, economic growth, and social welfare. EMS leads to different results from previous studies in which market structure is exogenous. In the short run, a higher nominal interest rate reduces the growth rates of innovation, output, and consumption and decreases firm size through reduction in labor supply. In the long run, a higher nominal interest rate reduces the equilibrium number of firms but has no steady-state effect on economic growth and firm size because of EMS. Although monetary policy has no long-run growth effect, increasing the nominal interest rate permanently reduces the levels of output, consumption, and employment. Taking transition dynamics into account, we find that welfare is decreasing in the nominal interest rate and the Friedman rule is optimal in this economy.

Small water and wastewater systems: pathways to sustainable development?

2004 ◽  
Vol 48 (11-12) ◽  
pp. 7-14 ◽  
Author(s):  
G. Ho
Keyword(s):  
Sustainable Development ◽  
Large Scale ◽  
Small Scale ◽  
Technology Choice ◽  
Large Scale Systems ◽  
Environmentally Sustainable ◽  
Small Water ◽  
Developing Communities ◽  
Wastewater Systems ◽  
Water And Wastewater

Globally we are faced with billions of people without access to safe water and adequate sanitation. These are generally located in developing communities. Even in developed communities the current large scale systems for supplying water, collecting wastewater and treating it are not environmentally sustainable, because it is difficult to close the cycle of water and nutrients. This paper discusses the advantages of small scale water and wastewater systems in overcoming the difficulties in providing water and wastewater systems in developing communities and in achieving sustainability in both developed and developing communities. Particular attention is given to technology and technology choice, even though technology alone does not provide the complete answer. Disadvantages of small scale systems and how they may be overcome are discussed.

PRODUCTION SUBSIDY AS A MACROECONOMIC POLICY IN A STAGNATION ECONOMY

2008 ◽  
Vol 53 (02) ◽  
pp. 317-333 ◽  
Author(s):  
WATARU JOHDO
Keyword(s):  
Steady State ◽  
Utility Function ◽  
Monopolistic Competition ◽  
Full Employment ◽  
Macroeconomic Policy ◽  
Elasticity Of Substitution ◽  
Nominal Wage ◽  
Differentiated Products ◽  
Effective Demand ◽  
Number Of Firms

This paper analyzes the effects of a changing production subsidy in a model with money-in-the-utility function for households, monopolistic competition amongst an endogenously-determined number of firms, and nominal wage sluggishness that can prevent the equilibrium from attaining full employment. Its conclusion is that in a steady state with less than full employment (that is, under stagnation), a larger production subsidy will promote entry and stimulate effective demand provided that the elasticity of substitution among the differentiated products is sufficiently high. This paper is motivated by recent Japanese experiences.

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