Location choices with non-linear demand function

Research output: Contribution to journalArticle

7 Citations (Scopus)

Abstract

This article introduces a non-linear hyperbolic demand function in a spatial shipping model. We show that, in contrast with the linear demand case, dispersion of firms emerges in equilibrium both when the firms compete through quantities and when they compete through prices. Further, the impact of the marginal production costs on the degree of firms’ dispersion in equilibrium is positive when firms compete with prices, and it is inverse U-shape when firms compete with quantities.
Original languageEnglish
Pages (from-to)N/A-N/A
JournalPapers in Regional Science
DOIs
Publication statusPublished - 2014

Keywords

  • location choices

Fingerprint

Dive into the research topics of 'Location choices with non-linear demand function'. Together they form a unique fingerprint.

Cite this