This paper explores the dynamics of market selection for an industry in which firms employ relatively simple pricing, production and investment routines and in which consumers switch between rival firms in response to price differentials but do not all do so instantaneously. The key issue is...

Abstract This paper challenges the robustness of policy propositions of the New Economic Geography. Simply altering the temporal framework of the Footloose Entrepreneur model implies that the system can exhibit periodic cycles, chaotic orbits or agglomeration. Minute changes in a tax or subsidy...

This paper explores a dynamic model of an agricultural sector in which farms are leased to cultivators on fixed rent contracts or on sharecropping contracts and in which cultivators are subject to credit rationing by banks. The model, which can exhibit complex dynamics, is used to compare the...

Consumers base market choices on beliefs about the properties of commodities. Invoking Lancaster's characteristics approach, we explore the implications for consumer well-being of such beliefs being incorrect. Following an examination of the welfare cost of inaccurate beliefs, we address the...

This paper explores the possibilities for complex dynamic behavior in an industry where a fixed capital good, once acquired and installed, is specific to that industry. A central theme is to understand the sorts of factors which can impose bounds on the behavior of market price and which can...