William J. Baumol (1922-2017)

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William J. Baumol (1922-2017)

Many will remember Baumol for his explication of why labor costs go up in industries in which productivity does not. I mostly think about his theory of contestable markets, that markets can achieve perfect competition even if made up by big, strategic players, so long as entry into the market is easy, so that prices are disciplined by the need to keep out entrants.

Here's Vox:
William Baumol, whose famous economic theory explains the modern world, has died  May 4, 2017

Here's his List of Publications


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