Kahana, Nava; Weiss, Avi - In: Bulletin of Economic Research 46 (1994) 2, pp. 131-37
The modified theory of the Illyrian firm was developed, in part, to correct a perversity exhibited by the traditional theory of the Illyrian firm--that output rises in response to a fall in output price or a rise in fixed costs. We show that while this revised model has solved the problem for...