Estimating Market Power and Strategies [Hardcover]

This book presents, compares, and develops various techniques for estimating market power - the ability to set price profitably above marginal cost.The book shows economists how to estimate the ability of firms to raise their prices above their costs and how to estimate firms' strategies. It is designed for graduate students, researchers, and practitioners. It can be used as a textbook or as a guide to conducting research.The book shows economists how to estimate the ability of firms to raise their prices above their costs and how to estimate firms' strategies. It is designed for graduate students, researchers, and practitioners. It can be used as a textbook or as a guide to conducting research.The book shows economists how to estimate the ability of firms to raise their prices above their costs and how to estimate firms' strategies. It is designed for graduate students, researchers, and practitioners. It can be used as a textbook or as a guide to conducting research. No close substitutes exist.1. Introduction; 2. Structure-conduct-performance; 3. Industry models of market power; 4. Differentiated-product structural models; 5. Strategic reasons for a dynamic estimation model; 6. Dynamic games involving economic fundamentals; 7. Estimation of dynamic games involving economic fundamentals; 8. Estimation of market power using a linear-quadratic model; 9. Estimating strategies: theory; 10. Estimating strategies: case studies; Statistical appendix; Answers. This book would be of interest to those readers wishing to advance their knowledge and understanding of how econometrics can be used to investigate questions of market power.
Judith Corbyn, Statistics in Society