Winner-take-all price competition

We analyze an oligopoly model of homogeneous product price competition that allows for discontinuities in demand and/or costs. Conditions under which only zero profit equilibrium outcomes obtain in such settings are provided. We then illustrate through a series of examples that the conditions provided are "tight" in the sense that their relaxation leads to positive profit outcomes.

MoreLess

Year of publication:	2001-10-29
Authors:	Morgan, John ; Baye, Michael R.
Published in:	Economic Theory. - Springer. - Vol. 19.2002, 2, p. 271-282
Publisher:	Springer
Subject:	Price competition \| Discontinuity \| Bertrand \| Hotelling

freely available

Full text |

More access options

Check Google Scholar

In German libraries (KVK)

I need help

More details

Extent:	application/pdf
Type of publication:	Article
Notes:	Received: April 7, 2000; revised version: September 14, 2000
Classification:	D43 - Oligopoly and Other Forms of Market Imperfection ; C72 - Noncooperative Games
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10005596644