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Bertrand competition with non-rigid capacity constraints

Prabal Roy Chowdhury ()

Economics Letters, 2009, vol. 103, issue 1, 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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Citations: View citations in EconPapers (17)

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