NATIONAL BUREAU OF ECONOMIC RESEARCH
NATIONAL BUREAU OF ECONOMIC RESEARCH

Sunk Costs and Risk-Based Barriers to Entry

Robert S. Pindyck

NBER Working Paper No. 14755
Issued in February 2009

---- Acknowledgements -----

My thanks to Dennis Carlton,Wouter Dessein, Joe Farrell, Michael Riordan, Manuel Trajtenberg, Yoram Weiss, and seminar participants at Brandeis, Columbia, and Tel Aviv Universities for helpful comments and suggestions, and to Eric Wang for superb research assistance. The views expressed herein are those of the author(s) and do not necessarily reflect the views of the National Bureau of Economic Research.

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