A New Way to Measure Competition
基于企业利润提出一种新的竞争衡量方法，在一般模型中推导其单调性条件，并证明该方法在理论上比价格成本边际更稳健，可用于实证检验价格成本边际作为竞争衡量指标的问题。
This article introduces a new way to measure competition based on firms' profits. Within a general model, we derive conditions under which this measure is monotone in competition, where competition can be intensified both through a fall in entry barriers and through more aggressive interaction between players. The measure is shown to be more robust theoretically than the price cost margin. This allows for an empirical test of the problems associated with the price cost margin as a measure of competition.