ALTERNATIVE PROFITABILITY MEASURES AND TESTS OF THE STRUCTURE-PERFORMANCE RELATIONSHIP

Authors
AMATO L WILDER RP
Citation
L. Amato et Rp. Wilder, ALTERNATIVE PROFITABILITY MEASURES AND TESTS OF THE STRUCTURE-PERFORMANCE RELATIONSHIP, Review of industrial organization, 10(1), 1995, pp. 21-31
Citations number
38
Categorie Soggetti
Economics,Management
Journal title
Review of industrial organization → ACNP
ISSN journal
0889938X
Volume
10
Issue
1
Year of publication
1995
Pages
21 - 31
Database
ISI
SICI code
0889-938X(1995)10:1<21:APMATO>2.0.ZU;2-B
Abstract
This paper compares the inferences gained when alternatively specifyin g Census-based price-cost margin and IRS-based accounting rate of retu rn as the dependent variable in conventional structure-performance mod els. We find important differences between the structure-performance i nferences of the alternative specifications of the profit measure. Fur ther, the alternative profit measures are not highly correlated.