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The life cycle of the U.S. tire industry | Semantic Scholar
Source: semanticscholar.org
Article summary:
1. The article examines turbulence in the product life cycle of the U.S. tire industry using panel data.
2. It looks at the roles of entry and exit of firms in competitive models of industry supply.
3. It finds that individual firms have U-shaped long run average cost curves, and that entry and exit are important determinants of market structure and performance over time.
Article analysis:
The article is generally reliable, as it provides a detailed analysis of the product life cycle of the U.S. tire industry using panel data, which allows for an accurate assessment of the roles played by entry and exit of firms in competitive models of industry supply. The article also presents evidence to support its claims, such as finding that individual firms have U-shaped long run average cost curves, which is a key factor in determining market structure and performance over time.
However, there are some potential biases present in the article that should be noted. For example, it does not explore any counterarguments or present both sides equally when discussing the roles played by entry and exit of firms in competitive models of industry supply. Additionally, it does not mention any possible risks associated with this type of analysis or provide any evidence for its claims beyond what is presented in the article itself. Furthermore, there is no indication that promotional content has been included or that partiality has been taken into account when making conclusions about the findings presented in the article.