that entry and exit rates are positively correlated across industries. Our objective is to investigate the effect of sunk … costs and, in particular, market size on entry and exit rates. We analyse a stochastic dynamic model of a monopolistically … show existence and uniqueness of a stationary equilibrium with simultaneous entry and exit: efficient firms survive while …

, this being particularly relevant to de novo entrants as compared to entry by established firms. Current size is also found … differences, past growth matters for survival suggesting a partial adjustment process for firm size in the post entry period …. Finally, new plants are more likely to live longer if they enter growing industries or industries with little entry activity. …

entry and product variety in a sticky-price model with monopolistic competition in which price stability would be optimal in … the absence of entry. Specifically, a long-run positive (negative) rate of inflation is optimal when the benefit of …

buyers. In an auction all entry decisions are made prior to any bidding. In a sequential bidding process earlier entrants can … auction is more conducive to entry in several ways it usually generates higher expected revenue. A substantially revised …

recognition, can be used to increase welfare. The analysis includes entry deterrence by the choice of a particular standard. With …

This paper studies the optimal regulatory policy in a market where entry may occur. The regulator regulates the … incumbent, but not the entrant in the event of entry. We show that the effect of entry on prices and incentives for cost … outcome following entry is less competitive than it would be without the possibility to commit: price is higher and incentives …

may trigger future entry and the collusive agreement is enforced by the most profitable 'grim trigger strategies …' available. It is shown that even in situations where perfect collusion can be sustained after entry, coping with a potential … entrant in a market which is growing over time may completely undermine any pre-entry collusive plans of the incumbent firms …

vertical product differentiation and entry. Both firms face fixed set-up costs and quality-dependent costs of production, and … compete on quality and price. With identical quality-dependent costs, the incumbent will always deter entry if possible, i ….e. if fixed costs are high. Quality will be set at a level lower than the optimal quality set if entry was accommodated. If …