Abstract
This article develops a model of competitive interaction and industry evolution in the presence of a learning curve. The learning curve is a function relating the unit costs of the individual firm to accumulated volume. The responses of the model to shifts in parameters are explored through calculated examples. The paper also used a two-period model to explore differences between open and closed-loop equilibria, and to assess the impact of learning spillover effects from one firm to the next.
Keywords
EconomicsCompetition (biology)Learning curveEconometricsMicroeconomicsMathematical economicsManagement
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Publication Info
- Year
- 1981
- Type
- article
- Volume
- 12
- Issue
- 1
- Pages
- 49-49
- Citations
- 836
- Access
- Closed
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Cite This
A. Michael Spence
(1981).
The Learning Curve and Competition.
The Bell Journal of Economics
, 12
(1)
, 49-49.
https://doi.org/10.2307/3003508
Identifiers
- DOI
- 10.2307/3003508