M. I. Maldonado, S.Carbó Valverde, Miguel Angel Fortes Escalona
{"title":"Cournot Competition In A Two-Dimensional Circular City","authors":"M. I. Maldonado, S.Carbó Valverde, Miguel Angel Fortes Escalona","doi":"10.1111/J.1467-9957.2005.00423.X","DOIUrl":null,"url":null,"abstract":"In this paper we develop a Cournot competition model between two firms located in a two-dimensional circular city. This city consists of a circumference and all the points in its interior for which movement between any two points can be made in a straight line. Firms have zero costs and market demand is symmetrically linear. We show that there exists a single state of equilibrium in which the firms agglomerate in the centre of the circle.","PeriodicalId":83172,"journal":{"name":"The Manchester school of economic and social studies","volume":"181 4 1","pages":"40-49"},"PeriodicalIF":0.0000,"publicationDate":"2005-01-07","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":"8","resultStr":null,"platform":"Semanticscholar","paperid":null,"PeriodicalName":"The Manchester school of economic and social studies","FirstCategoryId":"1085","ListUrlMain":"https://doi.org/10.1111/J.1467-9957.2005.00423.X","RegionNum":0,"RegionCategory":null,"ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"","JCRName":"","Score":null,"Total":0}
引用次数: 8
Abstract
In this paper we develop a Cournot competition model between two firms located in a two-dimensional circular city. This city consists of a circumference and all the points in its interior for which movement between any two points can be made in a straight line. Firms have zero costs and market demand is symmetrically linear. We show that there exists a single state of equilibrium in which the firms agglomerate in the centre of the circle.