This paper presents a macroeconomics-friendly Post Keynesian model of the firm describing both an inventory theoretic approach and an entry deterrence approach to choice of excess capacity. The model explains why firms may rationally choose to have excess capacity. It also shows the two approaches are complementary and reinforcing of each other. Analytically, the paper ...
tom considers the following as important: Economics, Political Economy, Uncategorized
This could be interesting, too:
Lars Pålsson Syll writes The gender wage gap
Lars Pålsson Syll writes The experimental dilemma
Lars Pålsson Syll writes Finding the cace (student stuff)
Dan Crawford writes Open thread May 14, 2021