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Abstract

We argue that small group competition among overlapping oligopolies is the predominate market form in modern society applicable whenever goods are located by their address in some relevant space: characteristic space for monopolistic competition and geographic space for spatial competition. Predictions from models where there are a continuum of possible goods are radically different from those with a finite number of goods. In address models, competition is localized; there is a range of free entry equilibria which include zero profits at one extreme and very large profits at the other.

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Bibliographic Info

Paper provided by Queen's University, Department of Economics in its series Working Papers with number 495.

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Length: 64
Date of creation: 1982
Date of revision:
Handle: RePEc:qed:wpaper:495

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Cited by:

1. Xavier Martínez Giralt, 1990. "Empresas multiproducto, competencia en precios y localización," Investigaciones Economicas, Fundación SEPI, vol. 14(3), pages 503-517, September.
2. Richard Lipsey, 2001. "Successes and failures in the transformation of economics," Journal of Economic Methodology, Taylor and Francis Journals, vol. 8(2), pages 169-201.
3. Crabbé, Philippe, 1986. "Options financières et opportunités intertemporelles d’investissement irréversible en incertitude," L'Actualité Economique, Société Canadienne de Science Economique, vol. 62(4), pages 579-596, décembre.
4. Nicolai J Foss & Thorbjørn Knudsen, . "The Ressource-Based Tangle: Towards a Sustainable Explanation of Competitive Advantage," IVS/CBS Working Papers 00-1, Department of Industrial Economics and Strategy, Copenhagen Business School.
   
   • Nicolai J. Foss & Thorbj�rn Knudsen, 2003. "The resource-based tangle: towards a sustainable explanation of competitive advantage," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 24(4), pages 291-307.
5. Ottaviano, G.I.P. & Thisse, J.-F., 1999. "Monopolistic Competition, Multiproduct Firms and Optimum Product Diversity," Economics Working Papers eco99/31, European University Institute.
   
   • Ottaviano, Gianmarco Ireo Paolo & Thisse, Jacques-François, 1999. "Monopolistic Competition, Multiproduct Firms and Optimum Product Diversity," CEPR Discussion Papers 2151, C.E.P.R. Discussion Papers.
   • OTTAVIANO, Gianmarco & THISSE, Jacques-François, 1999. "Monopolistic competition, multiproduct firms and optimum product diversity," CORE Discussion Papers 1999019, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
6. Gupta, Abhay, 2007. "Measuring Quality Change due to Technological Externality in Multi-Feature Service Bundles," MPRA Paper 9284, University Library of Munich, Germany.
7. Morten Hviid, 1989. "Sequential Capacity and Price Choices in a Duopoly Model with Demand Uncertainty," Discussion Papers 89-09, University of Copenhagen. Department of Economics.
   
   • Morten Hviid, 1990. "Sequential capacity and price choices in a duopoly model with demand uncertainty," Journal of Economics, Springer, vol. 51(2), pages 121-144, June.

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