Large Firm Efficiency, Concentration, and Profitability in Defense Markets,
Abstract
This paper attempts to quantify the relative impacts of large firm efficiency and market power on profit margins in defense industries. The methodology employs a direct measure of firm efficiency together with a conventional measure of market power. Large firm efficiency and the effective use of market power appear to be generally present in industries characterized by decreasing costs. However, the basic defense industries - aircraft, missiles, ordnance, and shipbuilding - are notable for the absence of large firm efficiency and the absence of effective use of market power by leading firms. (Author)
Document Details
- Document Type
- Technical Report
- Publication Date
- Jan 01, 1983
- Accession Number
- ADP002810
Entities
People
- R. F. Allen
Organizations
- Air Force Institute of Technology