MARKETS STRUCTURE V : MICRO-ECONOMICS THEORY III
In a Bertrand model, each firm chooses its price given its believes about the price that the other firm will choose and the only equilibrium price is the competitive equilibrium. a cartel consists of a number of firms colluding to restrict output and maximize industry profit. A cartel will typically be unstable in the sense that each firm will be tempted to sell more than it’s agreed upon output, if it believes that the other firms will not respond
Escuela, estudio y materia
- Institución
- Columbia University
- Grado
- ECONOMICS : MICRO-ECONOMICS THEORY III
Información del documento
- Subido en
- 17 de agosto de 2021
- Número de páginas
- 14
- Escrito en
- 2021/2022
- Tipo
- Notas de lectura
- Profesor(es)
- Professor ndii
- Contiene
- Todas las clases
Temas
-
markets structure v
-
economics micro economics theory iii
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simultaneous price setting