Uniqueness results and algorithm for Stackelberg-Cournot-Nash equilibria

Uniqueness results and algorithm for Stackelberg-Cournot-Nash equilibria

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Article ID: iaor1992865
Country: Switzerland
Volume: 34
Start Page Number: 21
End Page Number: 36
Publication Date: Dec 1992
Journal: Annals of Operations Research
Authors:
Keywords: game theory
Abstract:

This paper uses recently developed theory of sensitivity analysis to explore the reaction of a Cournot-Nash equilibrium to a Stackelberg firm, and to analyze the effect of this reaction on the uniqueness of the Stackelberg-Cournot-Nash equilibrium. Some of the results presented are not new, but the methods used provide simpler proofs and a different perspective. More importantly, the methods used here allow the development of new conditions for a unique Stackelberg-Cournot-Nash equilibrium that extends those previously known. The methods used also provide for the development of an efficient algorithm for finding the equilibrium.

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