Bernhardt, Dan; Taub, Bart - In: RAND Journal of Economics 46 (2015) 1, pp. 66-85
type="main" <p>We characterize a duopoly buffeted by demand and cost shocks. Firms learn about shocks from common observation, private observation, and noisy price signals. Firms internalize how outputs affect a rival's signal, and hence output. We distinguish how the nature of information...</p>