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Regulating Imperfectly Competitive Markets

In: Industrial Organization

Author

Listed:
  • Pak-Sing Choi

    (National Central University)

  • Eric Dunaway

    (Wabash College)

  • Felix Munoz-Garcia

    (Washington State University)

Abstract

This chapter takes a regulatory approach by considering some of the models of imperfect competition analyzed in previous chapters (monopoly and oligopolies with different numbers of firms) and examines different policy tools that can induce firms to produce the output level that maximizes the social welfare (we refer to this output level as the “socially optimal output”), such as subsidies and taxes for each unit of output that the firm produces.

Suggested Citation

  • Pak-Sing Choi & Eric Dunaway & Felix Munoz-Garcia, 2021. "Regulating Imperfectly Competitive Markets," Springer Texts in Business and Economics, in: Industrial Organization, chapter 0, pages 197-230, Springer.
    • Handle: RePEc:spr:sptchp:978-3-030-57284-6_5
    DOI: 10.1007/978-3-030-57284-6_5
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