Abstract

http://ssrn.com/abstract=192050
 
 

Citations (9)



 


 



Technology Choice and Monopolistic Competition


Walter Elberfeld


University of Cologne

Georg Götz


University of Giessen - Department of Economics

October 25, 1999


Abstract:     
The purpose of this article is twofold. First, it deals with the question of technology choice in a framework where agents are 'small'. It shows that firms generically choose the same technology although different technologies are available. Our simple static model yields a non-monotonous relation between market size and the number of firms. Second, it re-examines the Dixit-Stiglitz model of monopolistic competition. We show that the comparative statics and welfare results from the often used CES case do not extend to the more general case of a variable elasticity of substitution (VES). While the comparative static results from the VES case are intuitive, the welfare analysis reveals some unappealing features of this approach.

Number of Pages in PDF File: 24

working papers series





Download This Paper

Date posted: June 14, 2000  

Suggested Citation

Elberfeld, Walter and Götz, Georg, Technology Choice and Monopolistic Competition (October 25, 1999). Available at SSRN: http://ssrn.com/abstract=192050 or http://dx.doi.org/10.2139/ssrn.192050

Contact Information

Walter Elberfeld
University of Cologne ( email )
Albertus-Magnus-Platz
Staatswissenschaftliches Seminar
50931 Koeln
Germany
+49 221-470-4356 (Phone)
+49 221-470-5068 (Fax)
Georg Götz (Contact Author)
University of Giessen - Department of Economics ( email )
Licher Str. 62
Giessen, Hessen D-35394
Germany
+49 641 99 22050 (Phone)
+49 641 99 19867 (Fax)
HOME PAGE: http://wiwi.uni-giessen.de/home/goetz/
Feedback to SSRN


Paper statistics
Abstract Views: 748
Downloads: 122
Download Rank: 137,875
Citations:  9

© 2014 Social Science Electronic Publishing, Inc. All Rights Reserved.  FAQ   Terms of Use   Privacy Policy   Copyright   Contact Us
This page was processed by apollo4 in 0.313 seconds