that entry and exit rates are positively correlated across industries. Our objective is to investigate the effect of sunk … costs and, in particular, market size on entry and exit rates. We analyse a stochastic dynamic model of a monopolistically … show existence and uniqueness of a stationary equilibrium with simultaneous entry and exit: efficient firms survive while …

An infinite-horizon, stochastic model of entry and exit with sunk costs and imperfect competition is constructed …. Simple examples provide insights into: (1) the relationship between sunk costs and industry concentration, (2) entry when … current profits are negative, and (3) the relationship between entry and the length of the product cycle. A subgame perfect …

in the context of game theoretical models of entry into the industry. As opposed to the majority of literature we … decision of the entrant as a signal of his strength. We show that in the Stackelberg model of market entry for some values of … model may be empirically relevant for industrial organization analysis of the entry of a new supplier to the existing supply …

that entry and exit rates are positively correlated across industries. Our objective is to investigate the effect of sunk … costs and, in particular, market size on entry and exit rates, and hence on the age distribution of firms. We analyze a …. We show existence and uniqueness of a stationary equilibrium with simultaneous entry and exit: efficient firms survive …

the context of the effect of entry on firm selection in a Cournot setting. It is found that inefficient firms are more …

In a model of horizontal product differentiation, we show that local monopolies may exist under free entry when capital … is perfectly mobile. In contrast both with the situation of restricted entry and with the zero-profit approach to free … entry outcomes of Salop (1979), the unit profit rate of incumbent monopolists is positive and bounded above in equilibrium …

may trigger future entry and the collusive agreement is enforced by the most profitable 'grim trigger strategies …' available. It is shown that even in situations where perfect collusion can be sustained after entry, coping with a potential … entrant in a market which is growing over time may completely undermine any pre-entry collusive plans of the incumbent firms …