The New Palgrave Dictionary of Economics

2018 Edition
| Editors: Macmillan Publishers Ltd

Market Structure

  • John Sutton
Reference work entry
DOI: https://doi.org/10.1057/978-1-349-95189-5_960

Abstract

The term ‘market structure’ relates to the number and size distribution of firms in a market. Markets dominated by a few large firms are said to be ‘concentrated’. This article offers a brief review of the modern literature that sets out to explain differences in concentration levels across different industries.

Keywords

Advertising Barriers to entry Endogenous sunk costs First mover advantages Herfindahl index Integer effects k-firm concentration ratio Learning Market structure Mergers Minimum efficient scale Monopolistic competition Monopoly Multi-stage games Network effects Oligopoly Perfect competition Rate of return Research and development Scale economies 

JEL Classifications

D4 
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Copyright information

© Macmillan Publishers Ltd. 2018

Authors and Affiliations

  • John Sutton
    • 1
  1. 1.