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The Cournot-Bertrand model and the degree of product differentiation

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  • Tremblay, Carol Horton
  • Tremblay, Victor J.

Abstract

We consider a duopoly model with a Cournot-type firm and a Bertrand-type firm. Both survive and the equilibrium is stable when there is sufficient product differentiation. With no differentiation, only the Cournot-type firm survives, and the outcome is perfectly competitive.

Suggested Citation

  • Tremblay, Carol Horton & Tremblay, Victor J., 2011. "The Cournot-Bertrand model and the degree of product differentiation," Economics Letters, Elsevier, vol. 111(3), pages 233-235, June.
    • Handle: RePEc:eee:ecolet:v:111:y:2011:i:3:p:233-235
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    References listed on IDEAS

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