Title :
Separating sequential equilibrium in a Bayesian international duopoly
Author :
Pinto, Alberto A. ; Ferreira, Fernanda A. ; Ferreira, Flávio
Author_Institution :
Fac. de Cienc., Univ. do Porto, Porto
Abstract :
We consider two Cournot firms, one located in the home country and the other in the foreign country, producing substitute goods for consumption in a third country. We suppose that neither the home government nor the foreign firm know the costs of the home firm, while the foreign firm cost is common knowledge. We determine the separating sequential equilibrium outputs.
Keywords :
international trade; Bayesian international duopoly; Cournot firms; sequential equilibrium; Bayesian methods; Cost function; Government; Instruments; Nash equilibrium; Probability distribution; Production; Uncertainty;
Conference_Titel :
Computational Cybernetics, 2006. ICCC 2006. IEEE International Conference on
Conference_Location :
Budapest
Print_ISBN :
1-4244-0071-6
Electronic_ISBN :
1-4244-0072-4
DOI :
10.1109/ICCCYB.2006.305711