Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/159236
Authors: 
Lambertini, Luca
Year of Publication: 
2001
Series/Report no.: 
Quaderni - Working Paper DSE 395
Abstract: 
I characterise the dynamics of capacity accumulation and investment in advertising in a spatial monopoly model, contrasting the socially optimal behavior of a benevolent planner against the behaviour of a profit-maximising monopolist. I show that, in steady state, the monopolist always distorts both kinds of investment as compared to the social optimum, except in a situation where the Ramsey equilibrium prevails under both regimes.
Persistent Identifier of the first edition: 
Creative Commons License: 
https://creativecommons.org/licenses/by-nc/3.0/
Document Type: 
Working Paper

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