Banerjee, Priyodorshi - In: The B.E. Journal of Theoretical Economics 7 (2007) 1
We study a Cournot oligopoly with one low-cost (dominant) firm and one or more high-cost (subordinate) firms. If the equilibrium is interior, with all firms producing positive quantity, a reallocation of production relative to the equilibrium point, such that the dominant firm produces more,...