Better Observability Promotes the Adoption of more Flexible Technologies

Marcel Boyer, Armel Jacques and Michel Moreaux

Working Papers from Toulouse - GREMAQ

Abstract: We study in this paper how the technological flexibility choices and equilibrium configurations depend first on the industry characteristics (demand function and cost parameters specific to the multiproduct flexible technology and to the product dedicated technologies) and, second, on the observability conditions prevailing in the industry. We show that better observability tends to promote the adoption of more flexible technologies.

Keywords: OLIGOPOLIES; MARKET STRUCTURE (search for similar items in EconPapers)
JEL-codes: D43 L13 (search for similar items in EconPapers)
Pages: 23 pages
Date: 1998
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