Headline: Crude Oil Prices
Fall, but Consumers in Some Areas See No Relief at the Pump
I.
| Introduction |
II.
| Conditions for Oligopoly |
III.
| The Role of Beliefs and Strategic Interaction |
IV.
| Profit Maximization in Four Oligopoly Settings |
| A. | Sweezy Oligopoly | B. | Cournot Oligopoly | | 1. | Reaction Functions and Equilibrium | | 2. | Isoprofit Curves | | 3. | Changes in Marginal Costs | | 4. | Collusion | C. | Stackelberg
Oligopoly | D. | Bertrand Oligopoly |
|
V. | Comparing Oligopoly Models |
| A. | Cournot | B. | Stackelberg | C. | Bertrand | D. | Collusion |
|
VI.
| Contestable Markets |
VII.
| Answering the Headline |
VIII.
| Summary |
IX.
| Key Terms and Concepts |
X.
| Conceptual and Computational Questions |
XI.
| Problems and Applications |
XII.
| Case-Based Exercises |
XIII.
| Selected Readings |
XIV.
| Appendix: Differentiated-Product
Bertrand Oligopoly |