The Monopoly and Cournot-Nash Equilibria under Dynamic Conditions
We now resume the study of optimal policies and expectations for n competing firms begun in chapter IV. Our concern is with the dynamic properties of the competitive and monopoly equilibria. Despite the greater difficulties of the analysis, many conclusions applicable to the static model remain valid in a dynamic setting, but certain new problems appear, and we shall need more powerful mathematical tools to solve them.
KeywordsDiscount Rate Optimal Policy Discount Factor Convergent Series Positive Definiteness
Unable to display preview. Download preview PDF.