English Abstract: This paper analyzes a mechanism through which product market competition affects allocation of the … activities: cost reduction (productive effort) and rent protection (unproductive effort). An increase in competition, measured by …. This paper identifies the conditions under which product market competition lowers the cost of providing incentives for …

examines the equilibrium investment on the pollution abatement when firms are facing Cournot competition in the output market … while the pollution permit market is perfectly competitive. Unlike standard perfect competition scenario, the abatement …