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| Hikaru Ogawa and Akira Nishimori |
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| ''Do Firms Always Choose Excess Capacity?'' |
| ( 2004, Vol. 12 No.2 ) |
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| We analyze the capacity choice of firms in a long-run mixed oligopoly market, in which firms decide not only production quantity but also capacity scale. Our main purpose is to show that while a profit-maximizing firm maintains over capacity as a strategic device, a firm pursuing non-pure profit chooses under capacity. |
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| Keywords: |
JEL: L3 - Nonprofit Organizations and Public Enterprise: General
L1 - Market Structure, Firm Strategy, and Market Performance: General |
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| Manuscript Received : Jan 14 2004 | | Manuscript Accepted : Jan 15 2004 |
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