Inflation and Market Structure

Inflation and Market Structure
Nitzan, Jonathan. (1990). Discussion Papers. Department of Economics. McGill University. pp. 1-59. (Article - Working Paper; English).

Full Text Available As:
PDF (Full Text)

Download (618kB) | Preview

Abstract or Brief Description

This is the third in a series of three essays which explore modern theories for inflation. Here we examine theories that reject the universal validity of perfect competition and link inflation with alternative, more realistic structures and institutions. In contrast to macroeconomic theories which emphasize ‘excess demand’ and growth inflation, structural theories relate primarily to stagflation. While most macroeconomists share a common belief in the ideal type of ‘profit maximization,’ structural theorists differ widely in their views on what motivates economic actors. The multiplicity of motivational assumptions lead different theorists toward distinct explanations for inflation. With their greater sensitivity toward real institutions, these theories offers important insights into the process of modern inflation. The structural literature, is, nevertheless limited by some of its methodological foundations.



Publication Type

Article - Working Paper


business structure corporate concentration full-cost growth inflation markup monopoly normal price oligopoly price smoothing profit pull-push spirals stagflation stagnation target rate of return wages


BN Agency
BN Business Enterprise
BN Capital & Accumulation
BN International & Global
BN Labour
BN Macro
BN Micro
BN Methodology
BN Conflict & Violence
BN Cooperation & Collective Action
BN Value & Price
BN Crisis
BN Power
BN Policy
BN Distribution
BN Production
BN Growth
BN Region - North America
BN Industrial Organization
BN Institutions

Depositing User

Jonathan Nitzan

Date Deposited

28 Jan 2005

Last Modified

29 Mar 2016 19:54


Actions (login required)

View Item View Item