IDEAS home Printed from https://ideas.repec.org/h/pal/palchp/978-1-349-02773-6_2.html
   My bibliography  Save this book chapter

Concentration and Market Power

In: Concentration in Modern Industry

Author

Listed:
  • Leslie Hannah

    (Emmanuel College)

  • J. A. Kay

    (St. John’s College)

Abstract

Many economists think of monopoly and competition as two polar cases, with the real world lying somewhere in between, and the degree of concentration measures whether a particular industry lies closer to one extreme or the other. The closer an industry is to the monopolistic end of the spectrum the more monopolistic characteristics will be observed, the higher prices will be relative to costs, the greater the resulting resource misallocation and welfare losses. This view has some plausibility, but it is much too vague to be considered a useful economic theory or to provide a satisfactory basis for empirical work. (This has not, however, prevented the proliferation of empirical studies in this area more or less devoid of theoretical underpinning). We must look more carefully at the ways in which high concentration might affect the relationship between prices and costs.

Suggested Citation

  • Leslie Hannah & J. A. Kay, 1977. "Concentration and Market Power," Palgrave Macmillan Books, in: Concentration in Modern Industry, chapter 2, pages 10-22, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-1-349-02773-6_2
    DOI: 10.1007/978-1-349-02773-6_2
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pal:palchp:978-1-349-02773-6_2. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.palgrave.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.