How horizon of game affect the sustainability of collusion

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Reference no: EM13896110

1. Contrast the conditions for cartels to be stable when they form in a simultaneous versus sequential way.

2. Explain how a collusive outcome may emerge noncooperatively as the equilibrium of a repeated game. Discuss how the horizon of the game, the number of firms, the frequency of interaction and multimarket contact affect the sustainability of collusion.

Reference no: EM13896110

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