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A new look at the classical Bertrand duopoly

Author

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  • Amir, Rabah
  • Evstigneev, Igor V.

Abstract

The paper provides necessary and sufficient conditions for the uniqueness of pure-strategy Nash equilibrium in the standard Bertrand duopoly with a homogeneous product. The main condition is elementary, easy to interpret, and nests all known sufficient conditions in the literature.

Suggested Citation

  • Amir, Rabah & Evstigneev, Igor V., 2018. "A new look at the classical Bertrand duopoly," Games and Economic Behavior, Elsevier, vol. 109(C), pages 99-103.
  • Handle: RePEc:eee:gamebe:v:109:y:2018:i:c:p:99-103
    DOI: 10.1016/j.geb.2017.12.010
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    References listed on IDEAS

    as
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    More about this item

    Keywords

    Price competition; Uniqueness of Nash equilibrium; Weakly dominated strategy; Non-monotonic demand;

    JEL classification:

    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
    • L10 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - General

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