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Asymmetric general oligopolistic equilibrium

Author

Listed:
  • Ansgar F. Quint
  • Jonas F. Rudsinske

Abstract

We explore the effects of country asymmetries in a general oligopolistic equilibrium model with segmented markets. Firms' oligopolistic behaviour in segmented markets has macro‐level effects when countries' characteristics or policies are asymmetric. Due to their effect on strategic firm behaviour, country asymmetries can induce deviations from the law of one price, which gives rise to terms‐of‐trade based international shifts in consumption and welfare. We demonstrate that by studying the welfare and distributional effects of asymmetric labour market policies.

Suggested Citation

  • Ansgar F. Quint & Jonas F. Rudsinske, 2024. "Asymmetric general oligopolistic equilibrium," The World Economy, Wiley Blackwell, vol. 47(3), pages 1167-1190, March.
    • Handle: RePEc:bla:worlde:v:47:y:2024:i:3:p:1167-1190
    DOI: 10.1111/twec.13473
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    More about this item

    JEL classification:

    • F12 - International Economics - - Trade - - - Models of Trade with Imperfect Competition and Scale Economies; Fragmentation
    • D51 - Microeconomics - - General Equilibrium and Disequilibrium - - - Exchange and Production Economies
    • L13 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Oligopoly and Other Imperfect Markets
    • F16 - International Economics - - Trade - - - Trade and Labor Market Interactions
    • D33 - Microeconomics - - Distribution - - - Factor Income Distribution

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