Information and incentives -- Creating value -- Property rights -- Externalities and coordination problems -- Non-excludable goods -- Asymmetric information -- Monopoly and collusion -- Abuse of firm power.

Interest in market power has recently surged among economists in many fields, well beyond its traditional home in industrial organization. This has focused empirical attention on markups, the ratios of price to marginal cost in product markets, and markdowns, the ratios of inputs' marginal...