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We study imperfect and monopolistic competition with asymmetric preferences over a variety of goods provided by heterogeneous firms. We show how to compute equilibria through the Morishima elasticities of substitution. Simple pricing rules and closed-form solutions emerge under monopolistic...
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) and the case for inefficient entry …
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) through the Morishima measures of substitution. Further results concerning pricing and entry emerge under homotheticity and … going to be provided under free entry, and the selection effects associated with changes in market size (i.e. opening up …
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