1. In a basic Cournot-Nash model, as the number of firms increases, price falls and very often the pace of innovation increases. 2. The more competitive a market, the more likely that a more “conscientious” firm is only epsilon “better” than its competitors. Think about it! #Strauss
The post Two simple points appeared first on Marginal REVOLUTION.
1. In a basic Cournot-Nash model, as the number of firms increases, price falls and very often the pace of innovation increases.
2. The more competitive a market, the more likely that a more “conscientious” firm is only epsilon “better” than its competitors.
Think about it! #Strauss
The post Two simple points appeared first on Marginal REVOLUTION.
Economics