Personal Income Distribution and Market Structure

Corrado Benassi, Roberto Cellini and Chirco Alessandra
Additional contact information
Chirco Alessandra: Facoltà di Economia, Università di Lecce,Lecce, Italy

German Economic Review, 2002, vol. 3, issue 3, 327-338

Abstract: Income distribution affects market demand and its elasticity, and, as a consequence, the optimal behaviour of firms and market equilibrium. This paper focuses on the effects of income polarization, and presents a model where ± for any unimodal density function describing income distribution of the consumers ± income polarization leads to market concentration, i.e., to a smaller number of firms able to survive in the long run, provided that the firms' fixed costs are sufficiently low.

Date: 2002
References: Add references at CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
https://doi.org/10.1111/1468-0475.00062 (text/html)
For access to full text, subscription to the journal or payment for the individual article is required.

Related works:
Journal Article: Personal Income Distribution and Market Structure (2002)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:bpj:germec:v:3:y:2002:i:3:p:327-338

Ordering information: This journal article can be ordered from
https://www.degruyter.com/journal/key/ger/html

DOI: 10.1111/1468-0475.00062

Access Statistics for this article

German Economic Review is currently edited by Peter Egger, Almut Balleer, Jesus Crespo-Cuaresma, Mario Larch, Aderonke Osikominu and Georg Wamser

More articles in German Economic Review from De Gruyter
Bibliographic data for series maintained by Peter Golla (peter.golla@degruyter.com).