Market structure, cost asymmetries and fiscal policy effectiveness

Hassan Molana, Catia Montagna

Research output: Contribution to journalArticlepeer-review

6 Citations (Scopus)


Imperfectly competitive macroeconomic models typically assume a symmetric equilibrium with identical firms, despite the fact that most industries are characterised by substantial degrees of firm heterogeneity. We examine how inter-firm efficiency gaps affect fiscal policy effectiveness under monopolistic competition.
Original languageEnglish
Pages (from-to)101-107
Number of pages7
JournalEconomics Letters
Issue number1
Publication statusPublished - 2000

Bibliographical note

10.1016/S0165-1765(00)00221-4 Article 0165-1765


  • Monopolistic competition Cost asymmetries Fiscal policy Market structure


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