Ownership structure and profit maximization in general equilibrium models of monopolistic competition

Authors

  • Vincent Boitier Le Mans University

DOI:

https://doi.org/10.17811/ebl.12.1.2023.85-90

Keywords:

Methodological issues, monopolistic competition, , ownership structure

Abstract

Using Hart (1979, 1985) and Mas-Colell (1984), I defend the idea that the standard ownership structure is somewhat problematic in general equilibrium models of monopolistic competition because profit maximization is not a justified objective of the firm. I then advocate that a solution to overcome this methodological issue is when ownership is disproportionally concentrated among households.

References

Nothing to declare

Downloads

Published

26-03-2023

How to Cite

Boitier , V. (2023). Ownership structure and profit maximization in general equilibrium models of monopolistic competition. Economics and Business Letters, 12(1), 85–90. https://doi.org/10.17811/ebl.12.1.2023.85-90

Issue

Vol. 12 No. 1 (2023): March

Section

Articles

License

The works published in this journal are subject to the following terms:

1. Oviedo University Press (the publisher) retains the property rights (copyright) of published works, and encourages and enables the reuse of the same under the license specified in paragraph 2.

© Ediuno. Ediciones de la Universidad de Oviedo / Oviedo University Press

2. The works are published in the online edition of the journal under a Creative Commons Attribution-Non Commercial-Non Derives 3.0 Spain (legal text). You can copy, use, distribute, transmit and publicly display, provided that: i) you cite the author and the original source of publication (journal, publisher and URL of the work), ii) they are not used for commercial purposes, iii) mentions the existence and specifications of this license.

3. Conditions of self-archiving. The author can archive the post-print version of the article (publisher’s version) on the author’s personal website and/or on the web of  the institution where he belong, including a link to the page of the journal and putting the way of citation of the work. Economics and Business Letters and its URL https://reunido.uniovi.es/index.php/EBL/index are the only authorized source for correctly giving the reference of the publisher’s version in every mention of the article.