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General equilibrium concepts under imperfect competition: a Cournotion approach

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  • D'ASPREMONT, Claude

    (CORE, Université catholique de Louvain, B-1348 Louvain-la-Neuve, Belgium)

  • DOS SANTOS, R.

    (BETA, Université Louis Pasteur, Strasbourg, France)

  • GÉRARD-VARET, Louis-André

    (GREQE, Ecole des Hautes Etudes, Université d’Aix-Marseille)

Abstract

In a pure exchange economy we propose a general equilibrium concept under imperfect competition, the "Cournotian Monopolistic Competition Equilibrium", and compare it to the Cournot-Walras and the Monopolistic Competition concepts. The advantage of the proposed concept is to simplify the calculations attributed to strategic agents. Then we study the connexion of these concepts to a general concept of P-equilibrium which is extended to economies with production.

Suggested Citation

  • D'ASPREMONT, Claude & DOS SANTOS, R. & GÉRARD-VARET, Louis-André, 1992. "General equilibrium concepts under imperfect competition: a Cournotion approach," LIDAM Discussion Papers CORE 1992057, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
    • Handle: RePEc:cor:louvco:1992057
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    Cited by:

    1. Luis F Costa & Huw D Dixon, "undated". "A Simple Business-Cycle Model with Schumpeterian Features," Discussion Papers 05/30, Department of Economics, University of York.
    2. Luís F. Costa, 2004. "Endogenous Markups and Fiscal Policy," Manchester School, University of Manchester, vol. 72(s1), pages 55-71, September.
    3. Julien, Ludovic A., 2011. "Unemployment equilibrium and economic policy in mixed markets," Economic Modelling, Elsevier, vol. 28(4), pages 1931-1940, July.
    4. Zigrand, Jean-Pierre, 2004. "A general equilibrium analysis of strategic arbitrage," Journal of Mathematical Economics, Elsevier, vol. 40(8), pages 923-952, December.
    5. Busetto, Francesca & Codognato, Giulio & Ghosal, Syantan, 2008. "Cournot-Walras Equilibrium as a Subgame Perfect Equilibrium," Economic Research Papers 269786, University of Warwick - Department of Economics.
    6. Rudy Colacicco, 2015. "Ten Years Of General Oligopolistic Equilibrium: A Survey," Journal of Economic Surveys, Wiley Blackwell, vol. 29(5), pages 965-992, December.
    7. Brito, Paulo B. & Costa, Luís F. & Dixon, Huw, 2013. "Non-smooth dynamics and multiple equilibria in a Cournot–Ramsey model with endogenous markups," Journal of Economic Dynamics and Control, Elsevier, vol. 37(11), pages 2287-2306.
    8. Amani Kahloul & Rim Lahmandi-Ayed & Hejer Lasram & Didier Laussel, 2017. "Democracy and competition: Vertical differentiation and labor in a general equilibrium model," Journal of Public Economic Theory, Association for Public Economic Theory, vol. 19(4), pages 860-874, August.
    9. Ludovic A. Julien & Fabrice Tricou, 2008. "Market Price Mechanisms and Stackelberg General Equilibria," EconomiX Working Papers 2008-29, University of Paris Nanterre, EconomiX.
    10. Paulo Brito & Luis Costa & Huw Dixon, 2007. "Business Cycles with Endogenous Mark-ups," Money Macro and Finance (MMF) Research Group Conference 2006 108, Money Macro and Finance Research Group.
    11. Busetto, Francesca & Codognato, Giulio & Ghosal, Sayantan, 2011. "Noncooperative oligopoly in markets with a continuum of traders," Games and Economic Behavior, Elsevier, vol. 72(1), pages 38-45, May.
    12. Busetto, Francesca & Codognato, Giulio & Ghosal, Sayantan, 2012. "Noncooperative Oligopoly in Markets with a Continuum of Traders: A Limit Theorem," The Warwick Economics Research Paper Series (TWERPS) 994, University of Warwick, Department of Economics.
    13. Luís F. Costa & Huw Dixon, 2009. "Fiscal Policy under Imperfect Competition: A Survey," Working Papers Department of Economics 2009/25, ISEG - Lisbon School of Economics and Management, Department of Economics, Universidade de Lisboa.
    14. Rodolphe Dos Santos Ferreira & Louis-André Gérard-Varet, 2000. "Introduction," Cahiers d'Économie Politique, Programme National Persée, vol. 37(1), pages 7-30.
    15. Ludovic A. Julien & Fabrice Tricou, 2010. "Oligopoly Equilibria “à la Stackelberg” in Pure Exchange Economies," Recherches économiques de Louvain, De Boeck Université, vol. 76(2), pages 175-194.
    16. Hubert Stahn, 2000. "Quelques réflexions sur la formation stratégique des prix dans un contexte d'équilibre général," Cahiers d'Économie Politique, Programme National Persée, vol. 37(1), pages 225-255.
    17. Luís F. Costa, "undated". "Product Differentiation, Fiscal Policy, and Free Entry," Discussion Papers 98/20, Department of Economics, University of York.
    18. Costa, Luís F. & Dixon, Huw David, 2011. "Fiscal policy under imperfect competition with flexible prices: An overview and survey," Economics - The Open-Access, Open-Assessment E-Journal (2007-2020), Kiel Institute for the World Economy (IfW Kiel), vol. 5, pages 1-57.
    19. Francesca Busetto & Giulio Codognato & Sayantan Ghosal, "undated". "Noncooperative oligopoly in markets with a continuum of traders: a limit theorem a la Cournot," Working Papers 2014_01, Business School - Economics, University of Glasgow.
    20. Francesca Busetto & Giulio Codognato & Sayantan Ghosal, 2017. "Asymptotic equivalence between Cournot–Nash and Walras equilibria in exchange economies with atoms and an atomless part," International Journal of Game Theory, Springer;Game Theory Society, vol. 46(4), pages 975-990, November.
    21. Busetto, Francesca & Codognato, Giulio & Ghosal, Sayantan, 2014. "Noncooperative Oligopoly in Markets with a Continuum of Traders: A Limit Theorem µa la Cournot," SIRE Discussion Papers 2014-019, Scottish Institute for Research in Economics (SIRE).

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