Inequality, Market Power, and Product Diversity
We analyze a macroeconomic model of monopolistic competition in which consumers earn unequal incomes. When preferences are non-homothetic, the distribution of income affects equilibrium mark-ups and equilibrium product diversity.
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- repec:cup:cbooks:9780521296762 is not listed on IDEAS
- Josef Zweimueller, .
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IEW - Working Papers
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- Zweimüller, Josef, 1998. "Schumpeterian Entrepreneurs Meet Engel's Law: The Impact of Inequality on Innovation-Driven Growth," CEPR Discussion Papers 1880, C.E.P.R. Discussion Papers.
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"Monopolistic Competition and Optimum Product Diversity,"
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"Income Distribution, Market Size, and Industrialization,"
The Quarterly Journal of Economics,
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- Saint-Paul, Gilles, 2001.
"Distribution and Growth in an Economy with Limited Needs,"
IDEI Working Papers
125, Institut d'Économie Industrielle (IDEI), Toulouse.
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