LEARNING COMPETITIVE MARKET BALANCE

We exhibit a quite natural, adaptive process generated by price-taking , noncooperative firms, supplying the same market. Under rather mild c onditions, that process, being driven by marginal profits, converges t o a market clearing, Cournot-Nash equilibrium. Namely, it suffices for convergence that cost functions be strictly convex and that the law o f demand holds. Randomness in revenues and costs is accommodated.