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FIRM MARKET SHARE, PRICE FLEXIBILITY, AND IMPERFECT INFORMATION |
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| Authors: | E. WOODROW ECKARD JR. |
| Affiliation: | *Economics Staff, General Motors Corporation. |
| Abstract: | This paper argues that firms with larger market shares will be relatively better informed about demand conditions. The main implications are 1) more rapid price adjustments in concentrated industries, 2) price leadership in industries with dominant firms, and 3) price setting behavior by the concentrated side of the market. |
| Keywords: | |