Pandej ChintrakarnPaan JindaponMahidol University. Mahidol University International College. Business Administration Division2015-09-102018-04-242015-09-102018-04-2420152012European Journal of Scientific Research. Vol. 69, No.2 (2012), 218-223https://repository.li.mahidol.ac.th/handle/20.500.14594/10973This paper examines market power in mortgage lending market in the U.S., applying a dynamic reformulation of the Bresnahan-Lau model in an error correcting framework. The most common motivation for using this model is to solve the inference problem when using non-tationary data, and to incorporate dynamic factors such as habit formation from the demand side and adjustment costs for the producer. The results suggest that commercial banks exercise market power in mortgage loan market in the long run. The estimated markup of 82% is statistically significant at the 1% level.engMahidol UniversityMarket powerIndustrial organizationArticle