development costs. Consumer welfare is increased if an innovator creates a proprietary technology such that the market equilibrium … all generic producers out of the industry and increase output as a wealth-maximizing monopolist, consumer welfare is …

welfare. First, the environmental policy reduces monopoly profits, and the negative effect on income increases labor supply in … larger, for reasonable parameter values, so the existence of monopoly reduces the welfare gain (or increases the loss) from … include pre-existing monopoly power as well. We show that the existence of monopoly power has two offsetting effects on …

disproportionate share of overall economic activity. This distribution of firm size is crucial for evaluating the welfare impact of … calibrated to the observed distribution of firm size, we show that the welfare impact of high entry costs is small. In the sample … increase in welfare of only 3.25%. In addition, when the firm size distribution follows Zipf's Law, the welfare impact of the …

passive choice, and other 401(k) plan features. Depending on which theory and welfare perspective one adopts, virtually any …-out costs, procrastination, inattention, and psychological anchoring. We examine the welfare implications of defaults under each … of these theories. We show how the optimal default, the magnitude of the welfare effects, and the degree of normative …

We show that the welfare of a country's infinitely-lived representative consumer is summarized, to a first order, by … total factor productivity (TFP) and by the capital stock per capita. These variables suffice to calculate welfare changes … within a country, as well as welfare differences across countries. The result holds regardless of the type of production …

nominal labor contracts. We assess the welfare consequences of restricted access to the capital market by comparing the … welfare loss induced by the drop in income between the cases of credit rationing and perfect access to international credit … international credit is to increase the welfare loss due to nominal contracts, consequently necessitating a larger devaluation. We …

This paper proposes a welfare criterion for economies in which agents have heterogeneously distorted beliefs. Instead …

The market access and welfare effects of Free Trade Areas (FTAs) without Rules of Origin (ROOs) are studied. We …, thereby raising imports. This is the classic trade creation effect and is welfare improving. We identify two additional … effects which work in the opposite direction and identify conditions under which these welfare reducing, import reducing …