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Estimation of a Supply Function

Merino Troncoso, Carlos (2021): Estimation of a Supply Function. Forthcoming in: Book: Economics of Competition Policy: A Guide for Lawyers, Case Handlers and Antitrust Economists

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Abstract

In this chapter I provide a brief introduction of the production and supply function. The theoretical neoclassical model, has limited capacity to explain data. Recent structural econometric techniques provide better estimation results and are able to explain entry, exit and investment decisions of firms.

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