On the counter-cyclicality of prices and markups in a Cournot model of entry
We prove in a Cournot model that the price and markup are counter-cyclical due to changes in the extent of competition if the income effect is decreasing in the price, as occurs when preferences are homothetic or demand is isoelastic.
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- repec:adr:anecst:y:1995:i:37-38 is not listed on IDEAS
- repec:adr:anecst:y:1995:i:37-38:p:17 is not listed on IDEAS
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