EconStor >
University of Chile >
Department of Economics, University of Chile >
Estudios de Economia, Department of Economics, University of Chile >

Please use this identifier to cite or link to this item:

http://hdl.handle.net/10419/66668
  
Title:El número óptimo de empresas bajo competencia de Bertrand PDF Logo
Authors:Coloma, Germán
Issue Date:2010
Citation:[Journal:] Estudios de Economía [ISSN:] 0718-5286 [Volume:] 37 [Year:] 2010 [Issue:] 2 [Pages:] 189-205
Abstract (Translated):This paper is about a model of Bertrand competition in a homogeneous-good market with free entry of identical firms and variable returns to scale. If the optimum number of active firms in the market is two or more, and the number of active firms is equal to that optimum number, then Bertrand equilibrium exists for that optimum number, and it does not exist if the number of active firms is less than the optimum. The model, however, does not rule out the existence of Bertrand equilibria with more active firms than the optimum number. Finally, when the optimum number of active firms in the market is one, Bertrand equilibrium does not exist.
Subjects:Bertrand equilibrium
variable returns to scale
free entry
number of firms
JEL:D43
L13
Document Type:Article
Appears in Collections:Estudios de Economia, Department of Economics, University of Chile

Files in This Item:
File Description SizeFormat
669602167.pdf292.35 kBAdobe PDF
No. of Downloads: Counter Stats
Download bibliographical data as: BibTeX
Share on:http://hdl.handle.net/10419/66668

Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.