Monopolistic Competition When Income Matters
分析了消费者间接效用可加分离时的垄断竞争，发现加价取决于收入而非市场规模，产生定价到市场、不完全汇率传递和贸易带来的纯品种增益，并讨论了企业异质性的达尔文效应和林德效应。
We analyse monopolistic competition when consumers have an indirect utility that is additively separable. This leads to markups depending on income (both in the short and long run) but not on the market size, which generates pricing to market, incomplete pass‐through and pure gains from variety for countries that open up to trade. Firms’ heterogeneity à la Melitz implies a Darwinian effect of consumers’ spending on business creation and a Linderian effect on (endogenous) quality provision. We discuss extensions with an outside good and heterogenous agents, and offer simple and tractable specifications (linear or log‐linear) of the demand functions.