Open-loop von Stackelberg equilibrium in the cartel-vs.-fringe model

Authors
Groot, F Withagen, C de Zeeuw, A
Citation
F. Groot et al., Open-loop von Stackelberg equilibrium in the cartel-vs.-fringe model, ENERG ECON, 22(2), 2000, pp. 209-223
Citations number
17
Categorie Soggetti
Economics
Journal title
ENERGY ECONOMICS
ISSN journal
01409883 → ACNP
Volume
22
Issue
2
Year of publication
2000
Pages
209 - 223
Database
ISI
SICI code
0140-9883(200004)22:2<209:OVSEIT>2.0.ZU;2-2
Abstract
In this paper the binding-contracts open-loop von Stackelberg equilibrium i n the cartel-vs.-fringe model of the supply side of a market for a raw mate rial from an exhaustible natural resource is reconsidered. It is shown that the equilibrium for this model differs from what the previous literature o n this model suggests. In particular, the equilibrium price trajectory can display discontinuities. (C) 2000 Elsevier Science B.V. All rights reserved . JEL classifications: Q3; C7.