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In a self-confirming equilibrium, each player correctly forecasts the actions that opponents will take along the equilibrium path, but may be mistaken about the way that opponents would respond to deviations. Intuitively, this equilibrium concept models the possible steady states of a learning...
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We show in a differential game of a differentiated product doupoly model of price competition with costly production … (MArkov perfect) steady state outcome more competitive than static Bertrand competition. The statis strategic complementarity …
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