The business cycle, market structure and mark-ups: an Indian case study

Satish Chand and Kunal Sen

Applied Economics Letters, 2000, vol. 7, issue 4, 251-254

Abstract: The new industrial organization theories as applied to macroeconomics predict that the relationship between the business cycle and profit mark-up is mediated by market structure. This prediction is tested using panel data on Indian manufacturing and evidence is found to support the above proposition. In particular, it is found that mark-ups are more counter-cyclical in concentrated industries.

Date: 2000
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DOI: 10.1080/135048500351618

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