Koeniger, Winfried; Licandro, Omar - Institute for the Study of Labor (IZA) - 2004
The effects of competition on growth are analyzed in the recent literature by comparing economies with the same market … competition à la Dixit- Stiglitz the effect of substitutability on the allocation of resources is independent of the associated … change in competition. Higher substitutability increases welfare, output and productivity because resources shift towards the …