We survey the recent empirical literature on structural models of market entry and spatial competition in oligopoly …. Finally, we discuss econometric issues that researchers should deal with in the estimation of these models, including multiple … equilibria and unobserved market heterogeneity. We comment on the advantages and limitations of alternative estimation methods …

competitive sectors—separately parameterized to match the same microdata on price flexibility—the oligopoly economy features a … parameters, output responses are five times larger. An oligopoly economy also (i) requires smaller menu costs and idiosyncratic … rationale for positive menu costs: in an oligopoly firms prefer a degree of rigidity to complete flexibility. Quantitatively …