We prove the existence of symmetric pure Cournot equilibria with heterogeneous goods under the following condition: Each firm reacts to a rise in competitor's output in such a way that its market price does not rise.
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Paper provided by European University Institute in its series Economics Working Papers with number
eco2000/8.
Length: 39 pages Date of creation: 2000 Date of revision: Handle: RePEc:eui:euiwps:eco2000/8
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Find related papers by JEL classification: C62 - Mathematical and Quantitative Methods - - Mathematical Methods and Programming - - - Existence and Stability Conditions of Equilibrium D43 - Microeconomics - - Market Structure and Pricing - - - Oligopoly and Other Forms of Market Imperfection L13 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Oligopoly and Other Imperfect Markets