Ohkawa, Takao; Okamura, Makoto; Nakanishi, Noritsugu; … - 2009
We consider the effects of free entry on the market structure and social welfare of an asymmetric Cournot oligopoly. Even if we allow for the existence of different types of firms initially, only one type (in almost all cases) can survive in the long run. Free entry leads an economy to a...