Etro, Federico - Dipartimento di Economia, Università Ca' Foscari Venezia - 2010
One of the pioneering works on endogenous market structures, by Tandon (1984), has extended the standard Cournot model with linear demand to endogenous entry and sunk R&D costs to show that the endogenous number of firms is independent from the size of the market. I generalize the model in many...