Mixed Motives of Simultaneous-move Games in a Mixed Duopoly: Comments and Erratum

If the public and private firm have mixed motives about payoff in a simultaneous-move game, Choi (2006) analyzes that the resulting equilibrium turns out to be an inefficient level with the monopoly of private firm even if there are Nash equilibria. However, we find that if we use equilibrium profit, we would have solved its unique Nash equilibrium that both firms aim to maximize the relative payoffs.

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Year of publication:	2007
Authors:	Choi, Kangsik
Published in:	Economics Bulletin. - AccessEcon, ISSN 1545-2921. - Vol. 12.2007, 32, p. 1-4
Publisher:	AccessEcon
Subject:	Mixed Duopoly

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Extent:	application/pdf
Type of publication:	Article
Language:	English
Classification:	L0 - Industrial Organization. General ; L2 - Firm Objectives, Organization, and Behavior
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10005110780