Spatial Cournot Competition with A Tunnel and Non-Uniform Distribution of Consumers

• Main Authors: LIN, YU-TANG, 林鈺棠
• Other Authors: LAI, FU-CHUAN
• Format: Others
• Language: en_US
• Published: 2017
• Online Access: http://ndltd.ncl.edu.tw/handle/82069276428494951846

碩士 === 國立臺北大學 === 經濟學系 === 105 === This thesis introduces a non-uniform consumer distribution into a spatial Cournot competition model and unifies several past research studies through a generalized model. Based on the traditional spatial Cournot competition model (Anderson and Neven, 1991), we introduce two large cities at two endpoints of a linear segment with/without an alternative route (a tunnel) connecting the two endpoints. The two-large-city case is conceptional similar to the barbell model of Hwang and Mai (1990). It is shown that the distribution of population and the length of the tunnel both affect the location choice as well as the social optimal locations for the two firms. We also present both the agglomeration and disperse equilibria in the models with/without a tunnel, proving that the population does affect the location decisions of firms.