CFDP 726
Optimal Cartel Equilibria with Imperfect Monitoring
Author(s):Publication Date: October 1984
Pages: 28
Abstract:
There exist optimal symmetric equilibria in the Green-Porter model [5, 8] having an elementary intertemporal structure. Such an equilibrium is described entirely by two subsets of price space and two quantities, the only production levels used by firms in any contingency. The central technique employed in the analysis is the reduction of the repeated game to a family of static games.
Keywords:
Optimal symmetric cartel equilibria, Cartels, Imperfect monitoring
JEL Classification Codes: 611, 026
See CFP: 656