In this paper we present an industry in which a pioneer has entered, accumulated capital in the form of goodwill, and in his monopoly period has also reduced his cost of production as a result of some form of learning by doing. At some later date a newcomer enters. His production cost is higher...

We consider a semicollusive market where firms compete in a long-run variable, such as investment in capital or capacity, and collude with respect to a short-run variable, such as price or market shares. Our concern is with the potential destabilizing effect of the long-run competition on the...