Traditional concerns about concentration in product markets have centered on the social losses associated with the mispricing that occur when market power is exercised. This paper focuses on a potentially greater loss from market power -- a reduction in cost efficiency brought about by the lack...

Traditional concerns about concentration in product markets have centered on the social loss associated with the mispricing that occurs when market power is exercised. This paper focuses on a potentially greater loss from market power - a reduction in cost efficiency brought about by the lack of...