The Legend of the SimulationsThe following simulations plot firms locations, prices and profits through time. The final location is where firms settle to, with no incentive to deviate right or left, or to increase or decrease prices.
2 Players, Linear City, Quadratic Transportation Costs
Results in line with theoretical results of D’Aspremont et al. (1979)4 Players, Linear City, Quadratic Transport Costs
Results in line with Hotelling simulations of Brenner (2007)8 Players, Linear City, Quadratic Transport Costs
Results in line with Hotelling simulations of Brenner (2007)
16 Players, Linear City, Quadratic Transport CostsThese results are a first.32 Players, Linear City, Quadratic Transport Costs
- Odd equilibrium resultsNote: screen shotsBut also | 3 Players, Circle City, Quadratic Transportation CostsThese results are a first, but in line with the one-shot, location-then-price Nash equilibrium 4 Players, Circle City, Quadratic Transport CostsThese results are a first, but in line with the one-shot, location-then-price Nash equilibrium
8 Players, Circle City, Quadratic Transport CostsThese results are a first, but in line with the one-shot, location-then-price Nash equilibrium
16 Players, Circle City, Quadratic Transport CostsThese results are a first, but in line with the one-shot, location-then-price Nash equilibrium
32 Players, Circle City, Quadratic Transport CostsNote: |