Damme, Eric van; Hurkens, Sjaak - Department of Economics and Business, Universitat … - 1996
We consider a linear quantity setting duopoly game and analyze which of the players will commit when both players have the possibility to do so. To that end, we study a 2-stage game in which each player can either commit to a quantity in stage 1 or wait till stage 2. We show that committing is...