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Imperfectly competitive markets, trade unions and inflation: Do imperfectly competitive markets transmit more inflation than perfectly competitive ones? A theoretical appraisal

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  • Corchon, Luis

Abstract

In this paper we study the conjecture that oligopoly or imperfect competition causes more inflation than perfect competiton. We find necessary and sufficient conditions for this to occur.

Suggested Citation

  • Corchon, Luis, 1994. "Imperfectly competitive markets, trade unions and inflation: Do imperfectly competitive markets transmit more inflation than perfectly competitive ones? A theoretical appraisal," MPRA Paper 18627, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:18627
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    References listed on IDEAS

    as
    1. Michael Spence, 1976. "Product Selection, Fixed Costs, and Monopolistic Competition," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 43(2), pages 217-235.
    2. Dixit, Avinash K & Stiglitz, Joseph E, 1977. "Monopolistic Competition and Optimum Product Diversity," American Economic Review, American Economic Association, vol. 67(3), pages 297-308, June.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Inflation Oligopoly Trade Unions;

    JEL classification:

    • L13 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Oligopoly and Other Imperfect Markets
    • E31 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Price Level; Inflation; Deflation
    • J51 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - Trade Unions: Objectives, Structure, and Effects

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