Kalai, Ehud; Kamien, Morton I.; Rubinovitch, Michael - In: Management Science 38 (1992) 8, pp. 1154-1163
This is a study of the economic behavior of vendors of service in competition. A simple model with two competing exponential servers and Poisson arrivals is considered. Each server is free to choose his own service rate at a cost (per time unit) that is strictly convex and increasing. There is a...