This suggestion that duopoly will result in perfect competition, is commonly referred to in the economics literature as the "Bertrand paradox". In this paper, we move away from the safe haven of Nash equilibria as we analyze these models in disequilibrium under minimal behavioral hypotheses. ...
这被称为一Bertrand之谜”或Bertrand悖论(Bertrandparadox)。Bert 4、rand悖论的解释1、Edgeworth解:现实生活中企业的生产能力是有限制的,企业不能销售它没有能力生产的产品,所以只要一个企业的全部生产能力所提供的产品不能全部满足社会需求,则另一个企业对于残差的社会需求就可以收取超过边际成本的价格。假定firml具有...
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When rival firms offer similar goods the intensity of price competition increases (Bertrand Paradox). As a source of market power, product differentiation makes it possible to increase latitude in pricing.2 Structural features of the market (Bain, 1968) revealed by product differentiation are determin...
The identical agent, identical good Bertrand game is associated with prices at marginal cost u2014 the Bertrand Paradox. If consumers make occasional mistakes I show that the standard Bertrand game gives rise to positive profits and prices above marginal cost. Some firms charge low prices to captur...
theBertrandparadox(zeroprofit)outcome.Otherwise,afolktheoremobtains forone-shothomogeneousproductBertrandgames:anypositive(butfinite) payoffvectorcanbeachievedinasymmetricmixed-strategyNashequilibrium. JELNumbers:D43,C72 1Introduction Everyfirst-yeargraduatestudentineconomicsistaughtthatwhentwoidenticalprice...
产业组织6_-_Price_Competition_-_Bertrand_Model_First-Mover_-_Stackelberg ECON4030:IndustrialOrganization Spring2011 LectureNotes6PriceCompetition:BertrandModelDynamicGames,FirstandSecondMovers:StackelbergModel KENNYTEGUHPRIBADIBNU–HKBUUNITEDINTERNATIONALCOLLEGE JosephLouisFrançoisBertrand(1822–1900)French...
The limit cases of the model are the ''Bertrand Paradox,'' the ''Diamond Paradox,'' and Chamberlinian monopolistic competition. Market prices rise with search costs and decrease with the number of firms. Prices may initially fall with the degree of product differentiation because more diversity ...
Spagnolo, G. (2000) Self Defeating Antitrust Laws: How Leniency Programs Solve Bertrands Paradox and Enforce Collusion in Auctions, mimeo, Stockholm School of Economics.Spagnolo, G. (2000b), Self-defeating antitrust laws: How leniency programs solve Bertrand's para- dox and enforce...
Price competitionWe show that there is a unique correlated equilibrium, identical to the unique Nash equilibrium, in the classic Bertrand oligopoly model with homogeneous goods and identical marginal costs. This provides a theoretical underpinning for the so-called "Bertrand paradox" as well as its ...