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Market Power: Monopoly and Oligopoly
S/F/207. Briefly outline the main models of oligopoly in which firms compete according to output. Hence, discuss the contention that non-collusion is the inevitable outcome of oligopoly.
- WORDS:
- 2100
- DATE:
- 2009
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This essay reviews the theory of oligopolistic competition from the perspective of the non-collusive, conjectural variation models of Cournot and Stackleberg, within which firms compete according to output. The conclusion discusses the application of these theories and that non-collusion is the inevitable outcome of oligopoly
KEYWORDS: oligopoly, non-collusive, Cournot, Stackleberg,
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