We study experimentally how entry into a market with uncertain capacity is affected by the type of information … potential entrants have available. Our focus is on behavior in a two-market entry game. In the risky information market there … are two possible market capacities, both known to occur with probability 1/2. In the ambiguous information market the two …

choose decision rules for trading. The theory predicts that there are three types of Nash-equilibria in this game (Collusive …

market, and that firms enter profitable markets. The authors have used the experiment in undergraduate classes on strategy …

Die Theorie des Wettbewerbs als Entdeckungsverfahren behauptet, daß die Ergebnisse des Wettbewerbes nicht vorhergesagt …The theory of competition as a discovery procedure argues that the results of this procedure cannot be predicted … as a classroom experiment. and show that competition is likely to discover the market equilibrium as well as the wealth …