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The Cournot-Bertrand model and the degree of product differentiation. (English) Zbl 1217.91114
Summary: We consider a duopoly model with a Cournot-type firm and a Bertrand-type firm. Both survive and the equilibrium is stable when there is sufficient product differentiation. With no differentiation, only the Cournot-type firm survives, and the outcome is perfectly competitive.
MSC:
91B54Special types of economies
91B26Market models (auctions, bargaining, bidding, selling, etc.)
References:
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