Financial and Product Market Integration under Increasing Returns to Scale

Journey into the unknown ? Economic consequences of factor market integration under increasing returns to scale

What are the dynamic consequences of comprehensive integration shocks? The answer to this question appears all but trivial. We set up a dynamic macroeconomic model of a small open economy where both capital and labor are mobile and there are increasing returns to scale at the aggregate level. The model features multiple equilibria as well as (local and global) indeterminacy. Hence, expectations...

Capacity Utilization under Increasing Returns to Scale

Dynamic Influence Maximization Under Increasing Returns to Scale

Influence maximization is a problem of maximizing the aggregate adoption of products, technologies, or even beliefs. Most past algorithms leveraged an assumption of submodularity that captures diminishing returns to scale. While submodularity is natural in many domains, early stages of innovation adoption are often better characterized by convexity, which is evident for renewable technologies, ...

Collusive Market Structure Under Learning-By-Doing and Increasing Returns

Consumption externality and indeterminacy under increasing returns to scale and endogenous capital depreciation

Article history: Accepted 17 January 2014 Available online 15 February 2014 JEL classification: C62 E21 E22