STOCHASTIC EQUILIBRIUM PROGRAMMING FOR DYNAMIC OLIGOPOLISTIC MARKETS

This paper deals with the concept of stochastic equilibrium programming (SEP), which has recently been proposed for the modeling of imperfect competition on uncertain dynamic markets. We show that the equilibria computed via SEP correspond to an information structure, called S-adapted open-loop, which is not common in the dynamic game literature. We compare the single-player case with the many-player case using a simple two-stage dynamical system. An illustration of the use of the approach for the modeling of imperfect dynamic markets is also provided. © 1990 Plenum Publishing Corporation.