Affiliation:
1. Taras Shevchenko National University of Kyiv
2. Zhytomyr National Agroecological University
Abstract
The article explores the influence of monopoly power, arising from the use of advertising in the pharmaceutical industry, on public welfare: from the standpoint of market equilibrium and the well-being of society (Becker-Murphy model); in terms of consumer equilibrium (Tremblay-Polaski model); from manufacturer’s equilibrium position (model NEIO). Based on these models, an attempt was made to answer the question of the negative or positive impact of non-price competition (for example, advertising) on public welfare.
Publisher
Taras Shevchenko National University of Kyiv
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