Write a TWO-PAGES write up about Simultaneous Move Games that applied to a Cournot Duopoly model...

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Write a TWO-PAGES write up about Simultaneous Move Games that applied to a Cournot Duopoly model (Write about the price and output). Twoplayers have to make their strategy choicessimultaneously simultaneously, without without knowing knowing the the strategies that that have have been beenchosen by the other player.

Robert · Accepted Answer

Cournot Duopoly model 
Cournot Duopoly model is a model of oligopoly market structure when there are only 
two firms in the market. The oligopoly market is a market having small number of large sellers 
(each having significant market share), interdependency among firms, large advertisement cost, 
significant market barriers to entry, huge customer base and differentiated or homogeneous 
products, This market has the characteristics of both monopoly and perfect competition. So when 
there are only two firms in the market, we would have duopoly market structure.  
The firms in oligopoly industry are largely interdependent in terms of their price and 
output decision on each other. The reason is; each firm in this market has the significant amount 
of market power which allows them to affect market condition and therefore whenever a firm 
decides any of its policy and action;

Write a TWO-PAGES write up about Simultaneous Move Games that applied to a Cournot Duopoly model (Write about the price and output). Twoplayers have to make their strategy choicessimultaneously...

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