Endogenous Market Structure, Occupational Choice, and Growth Cycles

Maria José Gil-Moltó and Dimitrios Varvarigos
Authors registered in the RePEc Author Service: Maria Jose Gil Molto

No 13/05, Discussion Papers in Economics from Division of Economics, School of Business, University of Leicester

Abstract: We model an industry that supplies intermediate goods in a growing economy. Agents can choose whether to provide labour or to become firm owners and compete in the industry. The idea that entry is determined through occupational choice has major implications for the economy’s intrinsic dynamics. Particularly, the results show that economic dynamics are governed by endogenous volatility in the determination of both the number of industry entrants and in the growth rate of output. Consequently, we argue that occupational choice and the structural characteristics of the endogenous market structure can act as both the impulse source and the propagation mechanism of economic fluctuations.

Keywords: Overlapping generations; Endogenous cycles; Firms’ entry; Industry Dynamics (search for similar items in EconPapers)
JEL-codes: E32 L16 (search for similar items in EconPapers)
Date: 2013-02
New Economics Papers: this item is included in nep-bec, nep-dge and nep-mac
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://www.le.ac.uk/economics/research/RePEc/lec/leecon/dp13-05.pdf (application/pdf)

Related works:
Journal Article: ENDOGENOUS MARKET STRUCTURE, OCCUPATIONAL CHOICE, AND GROWTH CYCLES (2016)
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:lec:leecon:13/05

Ordering information: This working paper can be ordered from
https://www2.le.ac.u ... -1/discussion-papers

Access Statistics for this paper

More papers in Discussion Papers in Economics from Division of Economics, School of Business, University of Leicester School of Business, University of Leicester, University Road. Leicester. LE1 7RH. UK Provider-Homepage: https://le.ac.uk/school-of-business. Contact information at EDIRC.
Bibliographic data for series maintained by Abbie Sleath ().