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Reaction Functions under Quantity Competition in International Mixed Triopolies

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  • Kazuhiro Ohnishi

Abstract

This paper considers an economy in which a state-owned public firm, a domestic private firm and a foreign private firm compete in output levels. The paper examines the firms’ reaction functions in the economy. As a result of this analysis, the paper shows that there is a mixed triopoly in which the state-owned public firm acts as a strategic complementor to the domestic private firm’s output, that is, its reaction function is upward sloping.

Suggested Citation

Handle: RePEc:air:journl:v:5:y:2018:i:6:p:411
DOI: 10.5281/zenodo.17557911
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