Do other firms matter in oligopolies? / by Jonathan Haskel and Pasquale Scaramozzino Haskel, Jonathan

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Haskel, Jonathan
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Journal of Industrial Economics
Oligopolies - Mathematical models.; Business; Oligopolies -- Analysis
Two conclusions can be drawn from an analysis of the actual interaction that takes place between firms in an oligopoly. The first is that a firm's profits depend significantly on its own physical and financial characteristics as well as its competitors. The second is that the interactions are characterized by leader/follower assymetries wherein industry leaders expect accommodation from their competitors while followers behave as Cournot players.
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