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Bertrand competition |
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Bertrand competitionThe assumption, assumed to be made by firms in an oligopoly, that other firms hold their prices constant as they themselves change behavior. Contrasts with Cournot competition. Both are used in models of international oligopoly, but Cournot competition is used more often.Similar MatchesIn competitionIn competitionIndication that the customer has revealed trading interest to multiple brokers and that the trade will take place with the firm having the highest bid or lowest offer. Antithesis of exclusive. Perfect competitionPerfect competitionAn idealized market structure in which there are large numbers of both buyers and sellers, all of them small, so that they act as price takers. Perfect competition also assumes homogeneous products, free entry and exit, and complete information. Most international trade theory prior to the New Trade Theory assumed perfect competition. Cournot competitionCournot competitionThe assumption, assumed to be made by firms in an oligopoly, that other firms hold their outputs constant as they themselves change behavior. Contrasts with Bertrand competition. Both are used in models of international oligopoly, but Cournot competition is used more often. CompetitionCompetitionIntra- or intermarket rivalry between or among businesses trying to obtain a larger piece of the same market share. Imperfect competitionImperfect competitionAny departure from perfect competition. However, imperfect competition usually refers to one of the market structures other than perfect competition. Further SuggestionsCompetition aheadPerfect competition Monopolistic competition Competition policy Competition |
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