Price-setting mixed duopoly, subsidization and the order of firms' moves: the relevance of privatization

Ohnishi, Kazuhiro (2020): Price-setting mixed duopoly, subsidization and the order of firms' moves: the relevance of privatization.

Abstract

This paper first examines a price-setting mixed duopoly game with production subsidies where a public firm acts as a leader against a private firm. Second, the paper examines a price-setting duopoly game with production subsidies where the public firm remains a leader after privatization. Third, the paper compares the equilibrium values for private leadership with those for public leadership.

• Item Type: MPRA Paper
• Language: English
• Keywords: Price competition; Subsidy; Privatization; Mixed Stackelberg duopoly; Privatized Stackelberg duopoly
• Subjects: C - Mathematical and Quantitative Methods > C7 - Game Theory and Bargaining Theory > C72 - Noncooperative Games; D - Microeconomics > D2 - Production and Organizations > D21 - Firm Behavior: Theory; L - Industrial Organization > L3 - Nonprofit Organizations and Public Enterprise > L32 - Public Enterprises ; Public-Private Enterprises

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Ohnishi, K., 2020. Price-setting mixed duopoly, subsidization and the order of firms' moves: an irrelevance result. MPRA Paper No. 102476, University Library of Munich, Germany.

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