Bayesian Nash Equilibrium, Microeconomics

Assignment Help:
Consider 2 firms i=1,2 producing quantities q1 and q2 respectively. Let the market price be given by P=a-b(q1+q2). Firm 1''s Marginal cost c is common knowledge but 2''s cost is not known to 1 it is c+s where s is contained in (-a,a) with a distribution F(.) and E(s)=0. If s<0 firm 2 is more efficient than firm 1 and if s>0 firm 2 is less efficient than firm 1. Find the Bayesian Nash Equilibrium

Related Discussions:- Bayesian Nash Equilibrium

Understanding of micro/macro distinction and ppc, explain how microeconomic...

explain how microeconomic and macroeconomic issues may be represented using the production possibility curve

Microeconomics, compare the concept of MRTS with the MRS and discuss the si...

compare the concept of MRTS with the MRS and discuss the similarities and difference between them?

Policy orientation for private sector investment, Policy Orientation for Pr...

Policy Orientation for Private Sector Investment The policy perspective in the matter of funding is undergoing a steady transformation aimed at according an increasing role to

Describe about capitalism, Q. Describe about Capitalism? Capitalism: An...

Q. Describe about Capitalism? Capitalism: An economic system in that privately-owned businesses and companies undertake most economic activity (with the goal of generating priv

How do you define a control in economics, A control in economics means a st...

A control in economics means a steady profit rate that is enhancing. Thus, after one year you could have £1mill profit then the next year £3mill profit etc.

Global Competition, The distinction between supply and the quantity supplie...

The distinction between supply and the quantity supplied is best made by saying that

Oligopoly, characteristics and models of oligopoly by Sweezy,cournot and ed...

characteristics and models of oligopoly by Sweezy,cournot and edgework

What are the goal of sustainability, The goal of sustainability requires th...

The goal of sustainability requires that we address what three questions? The goal of sustainability needs that we address whether economic activities are financially sustainab

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd