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Industrial Concentration and Market Integration in the European Union

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  • Lyons, Bruce
  • Matraves, Catherine
  • Moffatt, Peter

Abstract

Unlike previous cross-section studies which test predictions from the theory of industrial structure, we do not make an ex ante assumption about the geographical market at which competition takes place. We develop an econometric technique that endogenously determines whether the EU or member state is the appropriate market level for each industry, while also estimating a structural model of concentration and market size. Another novelty is that we use European national as well as aggregate EU data. Strong support is found for the importance of endogenous fixed costs in the theory of market structure. Copyright 2001 by The London School of Economics and Political Science

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Bibliographic Info

Article provided by London School of Economics and Political Science in its journal Economica.

Volume (Year): 68 (2001)
Issue (Month): 269 (February)
Pages: 1-26

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Handle: RePEc:bla:econom:v:68:y:2001:i:269:p:1-26

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Cited by:
  1. Jozef Konings & Hylke Vandenbussche & Linda Springael, 2001. "Import Diversion under European Antidumping Policy," Journal of Industry, Competition and Trade, Springer, vol. 1(3), pages 283-299, September.
  2. Bruce Lyons, 2001. "What Do We Conclude from the Success and Failure of Mergers?," Journal of Industry, Competition and Trade, Springer, vol. 1(4), pages 411-422, December.
  3. Jan Guldager J�rgensen & Philipp J.H. Schr–der, 2003. "Reductions in Real versus Tariff Barriers: The Impact on Industry Concentration," Journal of Industry, Competition and Trade, Springer, vol. 3(4), pages 251-268, December.
  4. Pekka Ilmakunnas, 2008. "Lower Bounds of Concentration in a Small Open Economy," Review of Industrial Organization, Springer, vol. 32(1), pages 19-33, February.
  5. Catherine Matraves & Laura Rondi, 2007. "Product Differentiation, Industry Concentration and Market Share Turbulence," International Journal of the Economics of Business, Taylor & Francis Journals, vol. 14(1), pages 37-57.
  6. John Hutchinson & Damiaan Persyn, 2012. "Globalisation, concentration and footloose firms: in search of the main cause of the declining labour share," Review of World Economics (Weltwirtschaftliches Archiv), Springer, vol. 148(1), pages 17-43, April.
  7. Schröder, Philipp J.H. & Jørgensen, Jan G., 2001. "Reductions in Real versus Tariff Barriers: The Effects on Industry Concentration," MPRA Paper 124, University Library of Munich, Germany.
  8. Ewa, Lechman, 2010. "Concentration in ICTs sector – cross country analysis," MPRA Paper 37488, University Library of Munich, Germany.
  9. Catherine Matraves, 2002. "European Integration and Market Structure in the Soft Drinks Industry," International Journal of the Economics of Business, Taylor & Francis Journals, vol. 9(3), pages 295-310.

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