We consider a setting where firms in the first stage invest in cost-reducing R&D. In the market stage, one firm sets a quantity, and another sets a price. We prove that the quantity-setting firm invests more in R&D, has a lower price, and produces higher quantity than the price-setting firm. We also consider welfare implications.
Semenov, Aggey, and Jean-Baptiste Tondji. “On the Dynamic Analysis of Cournot–Bertrand Equilibria.” Economics Letters 183 (October 1, 2019): 108549. https://doi.org/10.1016/j.econlet.2019.108549.
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