This volume presents a collection of the author's influential papers in a number of areas of applied microeconomic theory. Topics covered include: strategic market structure; efficiency wages; theory of price in both labour and output markets; and collusive behaviour.

"Applied Microeconomic Theory" presents a seminal collection of the author's influential papers in a number of areas of applied microeconomic theory. This volume contains a selection of both published and unpublished papers written over a period of thirty years and reveals Curtis Eaton's profound economic insight and ability. Topics covered include: strategic market structure, beginning with Eaton's pioneering 1975 paper on pre-emption by product proliferation in a differentiated oligopoly and ending with his paper (in collaboration with Nicholas Schmitt) on the implications for market structure of flexible manufacturing published in 1995; efficiency wages, including two of the very earliest papers on the subject written in collaboration with William White; theory of price in both labour and output markets; and collusive behaviour, including a number of important papers written in collaboration with Mukesh Eswaran.

Part 1 Strategic behaviour: free entry in one-dimensional models - pure profits and multiple equilibria
freedom of entry and the existence of pure profit
the theory of market pre-emption - the persistence of excess capacity and monopoly in growing spatial markets
exit barriers are entry barriers - the durability of capital as a barrier to entry
capital, commitment and entry equilibrium
asymmetric equilibria and strategic behaviour in oligopolistic markets
sophisticated entry in an address model of monopolistic competition
a theory of market structure with sequential entry
uncertainty and the value of strategic commitment
noncooperative equilibria in one-shot games
flexible manufacturing and market structure
supporting collusion by choice of inferior technologies. Part 2 Efficiency wages: agent compensation and the limits of bonding
the economy of high wages - an agency problem
wealth - the support of institutions and the limits of control
the distribution of wealth and the efficiency of institutions. Part 3 Applied price theory: unemployment, underemployment and optimal job search
firm specific human capital - a shared investment or optimal entrapment?
patience, more than its own reward - a note on price discrimination
person specific costs of production - hours of work, rates of pay, labour contracts
Sweezy's kink - the original consistent conjectural equilibrium
the geometry of supply, demand and competitive market structure with economies of scope
price versus quantity competition in the Gabszewicz-Thisse model of vertical differentiation
endogenous pricing modes in markets for inputs
an address model of patent breadth with two countries
image advertising
technology trading coalitions in supergames
co-specific investments, hold-up and self enforcing contracts
the evolution of communication in a sender/receiver game of common interest with cheap talk
endogenous cartel formation
know-how sharing with stochastic innovations.