Abstract
Firms often make decisions which entail sunk costs and have long-lasting effects. For example firms often must decide which technology to install in a plant without knowing what market conditions will prevail during the life of the plant. This paper presents a dynamic competitive equilibrium framework in which to analyze these issues.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.