Testing Market Power with Profit Functions: a Dual Approach with Normalized Quadratic

The dual relationship between parameters of normalized quadratic cost and profit functions is determined when firms can implement market power on the output market. An approach is developed to test the market power by comparing the profits of a firm with and without market power. Simulations demonstrate the efficiency of this approach.


Issue Date:
Feb 02 2013
Publication Type:
Conference Paper/ Presentation
PURL Identifier:
http://purl.umn.edu/143105
Total Pages:
11
Series Statement:
73




 Record created 2017-04-01, last modified 2017-11-25

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