42. Cournot versus Bertrand Basics

In this video, I explain the intuition and some basic mechanics for Bertrand and Cournot competition (competing models of oligopoly). This is a more pragmatic and basic introduction to these topics than is offered in Lectures 35 and 35A, but it should complement those videos nicely.


For a list of videos and links to these videos (organized by topic), check out the Intromediate Microeconomics video web page:

http://blog.thisyoungeconomist.com/p/learn-microeconomics.html

This video goes along with my textbook, "Intromediate Microeconomics," which is available for purchase ($18 for an E-book with solutions) at:

http://www.lulu.com/cookson

Category:

Education

Tags:

• oligopoly
• price competition
• imperfect competition
• quantity competition
• Bertrand
• Cournot
• Stackelberg
• microeconomics
• intromediate microeconomics
• microeconomics lectures
• pricing
• educational
• tutorial
• Competition (economics)
• Economics

[Paparoach000]

Thanks bro keep em comin!

[theviolator23]

@wetterbabe

Solve the equation for you wrote down for q1 and you get ten. To check the answer substitute 10 into both q1's and see if the sides are equal.

10=15-.5*10

10=15-5

10=10

The solution is therefore valid, and because no variable is raised to any power outside of 1 there is only one solution.

[desifool2cool4ya]

OMG THANK YOU!!!!!!!!!! God bless you

[wetterbabe]

great video... but still not sure how q1 equals 10 at the end... how do we go from: q1=15-1/2q1 to q1=10 after we have said that q1=q2...

[Senvirr]

I sincerely thank you sir,good explanation,nice comparison,really you are my idol now

[pokkarokka]

If you can interpret something in a simplest way that it can be, then you understand it.

Professors that have been teaching for decades just don't have any motivation to inspire students as this guy does.

Finally I understand these formulas.

Thanks to You!

[Afsoon2009]

Thanks my swedish professor just writes formulas without any explanaition...the worst prof ever :(( you helped me a lot for the exam.

[4Bauhaus]

I wish my professor at the uni would explain it as well as you do...