Fixed cost efficiency with infinitesimal competitors

Suppose that infinitesimal firms have identical variable costs, but there is heterogeneity in their fixed costs. Regardless of the ordering of entry and exit, fixed costs will be minimized for a given industry size.

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Year of publication:	2010
Authors:	Wilson, Linus
Published in:	Applied Economics Letters. - Taylor & Francis Journals, ISSN 1350-4851. - Vol. 17.2010, 7, p. 667-671
Publisher:	Taylor & Francis Journals

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Extent:	text/html
Type of publication:	Article
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10008498679