Monopolistic competition and non-neighboring-goods (*)

B-Tier
Journal: Economic Theory
Year: 1996
Volume: 9
Issue: 1
Pages: 129-142

Score contribution per author:

2.011 = (α=2.01 / 1 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

This paper studies price games played by a continuum of differentiated producers who face demands generated by additively separable preferences exhibiting a non-neighboring goods property. The examples of exact equilibria show that an asymmetric Chamberlian outcome is compatible with nonzero profits for nonmarginal firms and also with constant average costs, contrary to long sustained views. The paper tries also to short out the structure behind this class of examples and identify as general features the presence of nonperfectly elastic demands facing individual firms and the existence of an approximate Chamberlinian equilibrium.

Technical Details

RePEc Handle
repec:spr:joecth:v:9:y:1996:i:1:p:129-142
Journal Field
Theory
Author Count
1
Added to Database
2026-01-28