Bertrand competition with non-rigid capacity constraints

We examine Bertrand competition with non-rigid capacity constraints, demonstrating that the set of pure strategy Nash equilibrium constitutes an interval. We then examine the properties of this set as (a) the number of firms becomes large and (b) the capacity cost increases.

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Year of publication:	2009
Authors:	Roy Chowdhury, Prabal
Published in:	Economics Letters. - Elsevier, ISSN 0165-1765. - Vol. 103.2009, 1, p. 55-58
Publisher:	Elsevier
Subject:	Bertrand competition Capacity constraint

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Type of publication:	Article
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10005270136