Hence the fiscal multiplier is less than one, but increasing in the degree of imperfect competition in the output market.
12.
Even if prices are perfectly flexible, imperfect competition can affect the influence of fiscal policy in terms of the multiplier.
13.
The new Keynesian explanation of price stickiness relied on introducing imperfect competition with price ( and wage ) setting agents.
14.
This is in contrast with its rival price stickiness and imperfect competition to generate macroeconomic models similar to earlier, Keynesian ones.
15.
In this way it is useful for explaining supply and demand, as well as essential aspects of models of imperfect competition.
16.
The New neoclassical synthesis essentially combined the dynamic aspects of RBC with imperfect competition and nominal rigidities of new Keynesian models.
17.
Later microeconomic theory distinguished between perfect competition and imperfect competition, concluding that perfect competition is Pareto efficient while imperfect competition is not.
18.
Later microeconomic theory distinguished between perfect competition and imperfect competition, concluding that perfect competition is Pareto efficient while imperfect competition is not.
19.
Edward Chamberlin and Joan Robinson were caught up in a vain attempt to persuade other economists of the significance of imperfect competition.
20.
In the 1980s the key concept of using menu costs in a framework of imperfect competition to explain price stickiness was developed.
