By Tönu Puu
The ebook focuses classical oligopoly thought as built in 1840-1940. by means of the tip of this era oligopoly got here lower than the spell of online game concept in its probabilistic equilibrium structure. paintings by means of Cournot, von Stackelberg, Palander, and Hotelling, causal and dynamic in essence, yet overlooked, is reconsidered within the mild of contemporary dynamics utilizing topology and numerics. As specific gains, von Stackelberg management is integrated within the dynamic Cournot version, the Hotelling challenge is solved with elastic call for, hence skipping the absurd proposal of quadratic transportation expenses. additional, it truly is proven that the distinguished destabilisation of Cournot equilibrium lower than elevated festival is because of mistakenly assuming consistent returns, and that the total notion of rational expectancies is untenable in dynamic oligopoly. Early unique principles in oligopoly conception, equivalent to coexistence and multiplicity of attractors are targeted back after many undeserved many years of oblivion.