Monotone comparative statics in games with non-monotonic best-replies: Contests and Cournot oligopoly

摘要

In this paper, we employ lattice-theoretic techniques to derive a number of comparative statics in a logit contest a class of games for which best-replies are generically non-monotonic. Using the same approach, we obtain several comparative statics in a Cournot oligopoly model without imposing the usual assumptions that ensure the game is one of strategic substitutes. Our analysis illustrates how lattice-theoretic techniques can deliver powerful insights in games with non-monotonic best-replies. (C) 2019 Elsevier Inc. All rights reserved.