Cournot model with investments to change the market size

• Tipo: Artigo em Revista Científica Internacional
• Data: 2007

Autores

Alberto A. Pinto (Autor) FCUP; Ferreira, FA (Autor) Outra; Ferreira, M (Autor) Outra; Bruno M P M Oliveira (Autor) FCNAUP

Revista

A Revista está pendente de validação pelos Serviços Administrativos.

Título: Proc. Appl. Math. Mech. - PAMM

Vol. 7

Páginas: 1041303-1041304

ISSN: 1617-7061

Outras Informações

ID Authenticus: P-00G-Z33

DOI: 10.1002/pamm.200700634

Abstract (EN): We present a new deterministic dynamical model on the market size of Cournot competitions, based on Nash equilibria of R&D investment strategies to increase the size of the market of the firms at every period of the game. We compute the unique Nash equilibrium for the second subgame and the profit functions for both firms. Adding uncertainty to the R&D investment strategies, we get a new stochastic dynamical model and we analyse the importance of the uncertainty to reverse the initial advantage of one firm with respect to the other.

Idioma: Inglês

Tipo (Avaliação Docente): Científica