There is not a day goes by without a passionate debate concerning Big Tech companies; while the main concern of governments seems to be related to social justice, a growing worry is associated with the consequences that large firms have on consumer welfare; nowadays these big entities engage in...

This paper develops a dynamic model in which financially constrained agents search for markets which are subject to decreasing returns to scale. In equilibrium, agents only invest in markets with total capital below an endogenous threshold that depends on the equilibrium distribution of capital...