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DUOPOLIES - GAME THEORY
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1. COURNOT DUOPOLY
- Cournot Duopoly - Reaction Function
- Cournot Duopoly
- Cournot Duopoly - Convergence
- Cournot Duopoly - Elimination
- Cournot Duopoly - Calculations
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2. BERTRAND DUOPOLY
- Bertrand Duopoly - Reaction Function
- Bertrand Duopoly
- Bertrand Duopoly - Convergence
- Bertrand Duopoly - Calculations
DUOPOLIES - GAME THEORY
Jüri Eintalu, Jul 19, 2015

Interactive and dynamic models of Cournot and Bertrand duopolies Most simple models have been used. The following concepts have been illustrated: - reaction functions; - Nash equilibrium; - cartel agreement; - convergence in a dynamic game; - iterated elimination of dominated strategies in a static game.
Table of Contents
- COURNOT DUOPOLY
- Cournot Duopoly - Reaction Function
- Cournot Duopoly
- Cournot Duopoly - Convergence
- Cournot Duopoly - Elimination
- Cournot Duopoly - Calculations
- BERTRAND DUOPOLY
- Bertrand Duopoly - Reaction Function
- Bertrand Duopoly
- Bertrand Duopoly - Convergence
- Bertrand Duopoly - Calculations
COURNOT DUOPOLY
Two competing firms are each one choosing one's quantities of production of the same product. They are selling with the same optimal price. A linear demand curve has been assumed. It has been also assumed that there are no fixed costs and that the model is symmetrical - both firms have the same, constant marginal cost.
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1. Cournot Duopoly - Reaction Function
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2. Cournot Duopoly
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3. Cournot Duopoly - Convergence
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4. Cournot Duopoly - Elimination
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5. Cournot Duopoly - Calculations
Cournot Duopoly - Reaction Function
Cournot Duopoly - Reaction Function


BERTRAND DUOPOLY
Two competing firms are each one choosing the prices of one's products, which are identical. They are both choosing correspondingly optimal quantities of production. A linear demand curve has been assumed. It has been also assumed that there are no fixed costs and that the model is symmetrical - both firms have the same, constant marginal cost. The parameters have been chosen so as to make the cartel agreement theoretically possible.
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1. Bertrand Duopoly - Reaction Function
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2. Bertrand Duopoly
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3. Bertrand Duopoly - Convergence
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4. Bertrand Duopoly - Calculations
Bertrand Duopoly - Reaction Function
Bertrand Duopoly - Reaction Function

