{"title":"Impact of Technical Progress on the Relationship Between Competition and Investment","authors":"François Jeanjean","doi":"10.2139/ssrn.3047238","DOIUrl":"https://doi.org/10.2139/ssrn.3047238","url":null,"abstract":"This paper investigates the impact of technical progress on the relationship between competition and investment. Using a model of oligopolistic competition with differentiated products in which firms invest to reduce their marginal cost of production (or to improve quality), I find that technical progress, by increasing the size of innovation, defined as the drop in marginal costs (or the increase in quality) obtained for a given investment amount, increases total investment and decreases the level of competition that maximizes investment in the industry. This feature also holds for consumer surplus and welfare. This means that innovative industries maximize consumer surplus and welfare at a lower level of competitive pressure than do less innovative industries. In the model, competition is measured either by the number of competitors or by the degree of horizontal substitutability between offers. The results hold for both measures, subject to a relatively steady industry specific rate of technological change.","PeriodicalId":45683,"journal":{"name":"Journal of Industry Competition & Trade","volume":"21 1","pages":"81-101"},"PeriodicalIF":1.9,"publicationDate":"2019-02-20","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://sci-hub-pdf.com/10.2139/ssrn.3047238","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"43334573","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Regional Inequality: An Analysis under an Extended Core-Peripheral Model","authors":"Marcus Gumpert","doi":"10.1007/s10842-019-00296-2","DOIUrl":"https://doi.org/10.1007/s10842-019-00296-2","url":null,"abstract":"","PeriodicalId":45683,"journal":{"name":"Journal of Industry Competition & Trade","volume":"20 1","pages":"157 - 186"},"PeriodicalIF":1.9,"publicationDate":"2019-02-20","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://sci-hub-pdf.com/10.1007/s10842-019-00296-2","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"52317663","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"One Bad Turn Deserves Another: How Terrorism Sustains the Addiction to Capital Flight in Africa","authors":"S. Asongu, R. Nting, E. Osabuohien","doi":"10.2139/ssrn.3365682","DOIUrl":"https://doi.org/10.2139/ssrn.3365682","url":null,"abstract":"This inquiry assesses if terrorism sustains the capital flight trap and whether the relationship is affected by varying the levels of governance and globalisation. The empirical evidence is based on interactive generalised method of moments with data from 37 African countries for the period 1996–2010. The following are established: (1) Evidence of a capital flight trap is apparent because past values of capital flight have a positive effect on future values of capital flight. (2) Terrorism sustains the positive effect of the capital flight trap on capital flight. (3) For the most part (especially with regard to political governance), terrorism sustains the addiction to capital flight in above-median governance sub-samples. Policy implications are discussed.","PeriodicalId":45683,"journal":{"name":"Journal of Industry Competition & Trade","volume":"1 1","pages":"1-35"},"PeriodicalIF":1.9,"publicationDate":"2019-01-04","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"43611434","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Revisiting the Causal Effects of Exporting on Productivity: Does Price Heterogeneity Matter?","authors":"T. Wassie","doi":"10.1007/s10842-018-0287-2","DOIUrl":"https://doi.org/10.1007/s10842-018-0287-2","url":null,"abstract":"","PeriodicalId":45683,"journal":{"name":"Journal of Industry Competition & Trade","volume":"19 1","pages":"185 - 210"},"PeriodicalIF":1.9,"publicationDate":"2018-12-14","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://sci-hub-pdf.com/10.1007/s10842-018-0287-2","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"52317615","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Contestability in the Digital Music Player Market","authors":"Wei Dai, Kam Yu","doi":"10.1007/s10842-018-0284-5","DOIUrl":"https://doi.org/10.1007/s10842-018-0284-5","url":null,"abstract":"","PeriodicalId":45683,"journal":{"name":"Journal of Industry Competition & Trade","volume":"19 1","pages":"293 - 311"},"PeriodicalIF":1.9,"publicationDate":"2018-08-03","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://sci-hub-pdf.com/10.1007/s10842-018-0284-5","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"43210635","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Contestability in the Digital Music Player Market","authors":"Wei Dai, Kam Yu","doi":"10.2139/ssrn.2736088","DOIUrl":"https://doi.org/10.2139/ssrn.2736088","url":null,"abstract":"We test the concept of contestability in the digital music player market. The theory suggests that the threat of new entrants keeps firms’ market power in check. But Baumol and others argue that pure contestable markets rarely happen in reality. The portable music player market has been dominated by one producer. We estimate a quality-adjusted price index from 2002 to 2010. Results show that market prices decline at an average rate of about 20 percent per year, which is similar to other IT products. This provides support for the idea that the market is fairly contestable.","PeriodicalId":45683,"journal":{"name":"Journal of Industry Competition & Trade","volume":"19 1","pages":"293-311"},"PeriodicalIF":1.9,"publicationDate":"2018-08-03","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"45192778","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Financial Constraints: State Aid to the Rescue? Empirical Evidence from Belgian Firm-Level Data","authors":"Ilona Sergant, Patrick J. G. Van Cayseele","doi":"10.1007/s10842-018-0277-4","DOIUrl":"https://doi.org/10.1007/s10842-018-0277-4","url":null,"abstract":"","PeriodicalId":45683,"journal":{"name":"Journal of Industry Competition & Trade","volume":"19 1","pages":"33 - 67"},"PeriodicalIF":1.9,"publicationDate":"2018-06-21","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://sci-hub-pdf.com/10.1007/s10842-018-0277-4","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"52317198","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Bank Competition and Access to Finance: Evidence from African Countries","authors":"M. M. Ayalew, Zhang Xianzhi","doi":"10.1007/s10842-018-0283-6","DOIUrl":"https://doi.org/10.1007/s10842-018-0283-6","url":null,"abstract":"","PeriodicalId":45683,"journal":{"name":"Journal of Industry Competition & Trade","volume":"19 1","pages":"155 - 184"},"PeriodicalIF":1.9,"publicationDate":"2018-06-11","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://sci-hub-pdf.com/10.1007/s10842-018-0283-6","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"52317583","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}