Bertrand competition with non-rigid capacity constraints

Prabal Roy Chowdhury ()

Economics Letters, 2009, vol. 103, issue 1, pages 55-58

Abstract: We examine Bertrand competition with non-rigid capacity constraints, demonstrating that the set of pure strategy Nash equilibrium constitutes an interval. We then examine the properties of this set as (a) the number of firms becomes large and (b) the capacity cost increases.

Keywords: Bertrand; competition; Capacity; constraint (search for similar items in EconPapers)
Date: 2009

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Working Paper: Bertrand Competition with Non-rigid Capacity Constraints (2008)
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Persistent link: http://EconPapers.repec.org/RePEc:eee:ecolet:v:103:y:2009:i:1:p:55-58

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