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Concurrence imparfaite et rendements croissants. Une approche en termes de fair-play

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  • Jean-Pierre Ponssard

Abstract

This paper develops the idea of forward induction in the context of increasing returns. The situation is modeled as a game of entry with a fixed cost and no marginal cost. The recursive equations that provide the solution of the infinitely repeated game are determined and solved for various cost configurations. Two cases may be distinguished: the monopoly may result either from history or from a durable competitive advantage. In both cases the competition is extreme since no threats, credible or not, are admitted.

Suggested Citation

  • Jean-Pierre Ponssard, 1989. "Concurrence imparfaite et rendements croissants. Une approche en termes de fair-play," Annals of Economics and Statistics, GENES, issue 15-16, pages 151-172.
  • Handle: RePEc:adr:anecst:y:1989:i:15-16:p:151-172
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    File URL: http://www.jstor.org/stable/20075755
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    Cited by:

    1. Jacques Kiambu, 2008. "Concurrence dans les réseaux et incompatibilité technologique (Competition in networks and technological incompatibility)," Working Papers 179, Laboratoire de Recherche sur l'Industrie et l'Innovation. ULCO / Research Unit on Industry and Innovation.

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