Wauthy, Xavier; Boccard, Nicolas - In: Economics Bulletin 12 (2005) 11, pp. 1-8
In this note, we consider a Bertrand-Edgeworth duopoly model in which products are differentiated ”à la Hotelling”. We assumine that only one of the two firms faces a capacity constraint. For this particular case, we characterize the equilibrium payoff of the unconstrained firm for the...