This paper presents a long run analysis of industry behavior allowing for entry and exit, and cost heterogeneity among firms. Treating the number of firms as endogenous provides linkages between firms’ conduct (reflecting the exercise of market power) and market structure. In steady state...

This article investigates a comprehensive assessment of firm strategic behavior under financial market uncertainty. A general theoretical model of market value maximization (MVM) is constructed using a traditional capital asset pricing format. The model built on the nonlinear Almost Ideal Demand...

In this paper, a two-period game is constructed, where duopoly firms choose advertising strategies in the first period and compete in price or quantity in the second period by maximizing the value of firm equity. Using certainty equivalence, we demonstrate the impacts of uncertainty and modes of...

When products are differentiated and quality is highly subjective (e.g., fashion or art), novel (e.g., a new feature), or difficult to verify prior to purchase (e.g., credence attributes), consumers may turn to price as a signal of quality. Products containing genetically modified (GM)...

This paper analyzes the market and welfare effects of the introduction of GM products in small open developing economies that, prior to the adoption of GM crops, were net exporters of non-GM products. It explicitly accounts for differences in consumer attitudes towards GM products and producer...

Despite the efforts of various economists and agricultural scientists in calling for more investments, funding for agricultural R&D has been stagnated for the last two decades in China. This will pose a great challenge for the China's agricultural sector. Productivity has leveled off, and...

There is little empirical evidence concerning the effects of intellectual property rights (IPR) on a technologically advanced developing country. Complete enumeration of the Mexican maize breeding industry showed that, contrary to the hypothesis that IPR would provide, in a technologically...

The European Union (EU) accomplished its biggest enlargement process in 2004 in terms of the number of countries, area, and population. This study focuses on the impact of enlargement, the resulting technology transfer on the grain sectors of the New Member States (NMS), and the consequent...

We review some of the most significant issues and results on the economic effects of genetically modified (GM) product innovation, with emphasis on the question of GM labeling and the need for costly segregation and identity preservation activities. The analysis is organized around an explicit...

The article’s aim is to conduct a comparative cross-section analysis of the innovative behaviour of the German manufacturing industry. The peculiarities of the food industry are tested in a combined analysis based on both input and output indicators. Linear and logistic regressions are used to...