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Price Competition and Market Structure: The Impact of Cartel Policy on Concentration in the UK Author info | Abstract | Publisher info | Download info | Related research | Statistics Symeonidis, George
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This paper examines the impact of firms' conduct on market structure. It studies the evolution of concentration in UK manufacturing following the abolition of cartels using a theoretical framework based on Sutton's theory of market structure and a panel data set of four-digit industries over 1958-1977. The econometric results suggest that the intensity of price competition has a positive impact on concentration in exogenous sunk cost industries as well as in advertising-intensive and R&D-intensive industries. The concentration-market size relationship, while negative in exogenous sunk cost industries, breaks down in industries with high advertising or R&D intensity.
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Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number
2308.
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Date of creation: Dec 1999Date of revision:
Handle: RePEc:cpr:ceprdp:2308Contact details of provider: Postal: Centre for Economic Policy Research, 53--56 Great Sutton Street, London EC1V 0DG Phone: 44 - 20 - 7183 8801 Fax: 44 - 20 - 7183 8820
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Keywords: Cartels ; Exogenous and Endogenous Sunk Costs ; Market Structure ; Price Competition ; UK Manufacturing ; Other versions of this item:
Find related papers by JEL classification: L10 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - General
References listed on IDEAS Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile , click on "citations" and make appropriate adjustments.:
George Symeonidis, 1999.
"Price and non-price competition with endogenous market structure ,"
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James G. MacKinnon & Halbert White, 1983.
"Some Heteroskedasticity Consistent Covariance Matrix Estimators with Improved Finite Sample Properties ,"
Working Papers
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Other versions: Symeonidis, George, 2000.
"Price Competition, Non-price Competition and the Market Structure: Theory and Evidence from the UK ,"
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[Downloadable!] (restricted)
Sleuwaegen, Leo & Yamawaki, Hideki, 1988.
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Bittlingmayer, George, 1985.
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references Cited by : (explanations , Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile , click on "citations" and make appropriate adjustments.)
Pekka Ilmakunnas, 2008.
"Lower Bounds of Concentration in a Small Open Economy ,"
Review of Industrial Organization ,
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[Downloadable!] (restricted)
Other versions: Stefan Buehler & Christian Kaiser & Franz Jaeger, 2004.
"Competition Policy and Exit Rates: Evidence from Switzerland ,"
Working Papers
0405, University of Zurich, Socioeconomic Institute, revised Apr 2005.
[Downloadable!]
Other versions: George Symeonidis, 2001.
"Price Competition, Innovation and Profitability: Theory and UK Evidence ,"
Economics Discussion Papers
530, University of Essex, Department of Economics.
[Downloadable!]
Other versions: Giannetti, C., 2008.
"Intensity of Competition and Market Structure in the Italian Banking Industry ,"
Discussion Paper
2008-43, Tilburg University, Center for Economic Research.
[Downloadable!]
Other versions: George Symeonidis, 2007.
"The Effect of Competition on Wages and Productivity: Evidence from the UK ,"
Economics Discussion Papers
626, University of Essex, Department of Economics.
[Downloadable!]
Catherine Matraves, 2002.
"European Integration and Market Structure in the Soft Drinks Industry ,"
International Journal of the Economics of Business ,
Taylor and Francis Journals, vol. 9(3), pages 295-310, November.
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Rey, Patrick, 2002.
"Towards a Theory of Competition Policy ,"
IDEI Working Papers
121, Institut d'Économie Industrielle (IDEI), Toulouse.
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Harvie, Charles & Lee, Boon-Chye, 2003.
"Public Policy and Small and Medium Enterprise Development ,"
Economics Working Papers
wp03-18, School of Economics, University of Wollongong, NSW, Australia.
[Downloadable!]
Nigel Driffield, 2001.
"Inward investment, industry concentration and the speed of adjustment ,"
Review of World Economics (Weltwirtschaftliches Archiv) ,
Springer, vol. 137(2), pages 193-214, June.
[Downloadable!] (restricted)
Michael Raith, 2003.
"Competition, Risk, and Managerial Incentives ,"
American Economic Review ,
American Economic Association, vol. 93(4), pages 1425-1436, September.
[Downloadable!]
Stephen Martin & Paola Valbonesi, 2006.
"The State Aid Game ,"
"Marco Fanno" Working Papers
0024, Dipartimento di Scienze Economiche "Marco Fanno".
[Downloadable!]
Symeonidis, George, 1999.
"In Which Industries Is Collusion More Likely? ,"
CEPR Discussion Papers
2301, C.E.P.R. Discussion Papers.
[Downloadable!] (restricted)
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