Okuno-Fujiwara, Masahiro; Suzumura, Kotaro - In: Economic Theory 3 (1993) 1, pp. 43-59
Recently, Mankiw-Whinston (1986) and Suzumura-Kiyono (1987) have shown that socially excessive firm entry occurs in unregulated oligopoly. This paper extends this "excess entry" results by looking into strategic aspects of cost-reducing R&D investment that creates incentives towards socially...