On the Role of a Market Maker in Networked Cournot Competition

  title={On the Role of a Market Maker in Networked Cournot Competition},
  author={Desmond W. H. Cai and Subhonmesh Bose and Adam Wierman},
We study Cournot competition among firms in a networked marketplace that is centrally managed by a market maker. In particular, we study a situation in which a market maker facilitates trade between geographically separate markets via a constrained transport network. Our focus is on understanding the consequences of the design of the market maker and on providing tools for optimal design. To that end we provide a characterization of the equilibrium outcomes of the game between the firms and the… CONTINUE READING

3 Figures & Tables



Citations per Year

Citation Velocity: 6

Averaging 6 citations per year over the last 2 years.

Learn more about how we calculate this metric in our FAQ.