Maican, Florin; Orth, ´Matilda - Institutet för Näringslivsforskning (IFN) - 2013
We use a dynamic oligopoly model of entry and exit to evaluate how entry regulations affect profitability and market … stores in Sweden, we find that the average entry costs for small and large stores are 10 and 18 percent lower, respectively …, in markets with liberal compared with restrictive regulations. Counterfactual simulations show that lower entry costs in …