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The behaviour of firms: an old debate

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  • Ana Isabel Rosado Cubero

Abstract

The Harvard School began with the early Mason/Bain research about the performance of the firms to get market power. This proposal opened a different field of the neoclassical economic theory valid since Alfred Marshall, whereas the Chicago scholars continued with the traditional paradigm. Nowadays the three main issues of discussion between these two schools of economic thought are the same as those of the 30’s and 40’s: barriers of entry into an industry for the new incumbents, the production function and profits maximization and behaviour of the firms within their industry. This article updates these topics.

Suggested Citation

  • Ana Isabel Rosado Cubero, 2014. "The behaviour of firms: an old debate," Iberian Journal of the History of Economic Thought, Universidad Complutense de Madrid, Facultad de Ciencias Económicas y Empresariales, Dpto. Historia e Instituciones Económicas I., vol. 1(2), pages 21-37, January 2.
    • Handle: RePEc:ucm:ijohet:v:1:y:2014:i:2:p:21-37
    DOI: 10.5209/rev_IJHE.2014.v1.n2.47728
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    More about this item

    Keywords

    History of economic thought; Harvard School; Chicago School; Firms behaviour.;
    All these keywords.

    JEL classification:

    • B21 - Schools of Economic Thought and Methodology - - History of Economic Thought since 1925 - - - Microeconomics
    • D21 - Microeconomics - - Production and Organizations - - - Firm Behavior: Theory
    • L10 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - General

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