@techreport{82d1d6595f2b437d9a976ff34c3db62b,
title = "Trade in bilateral oligopoly with endogenous market formation",
abstract = "We study a strategic market game in which traders are endowed with both a good and money and can choose whether to buy or sell the good. We derive conditions under which a non-autarkic equilibrium exists and when the only equilibrium is autarky. Autarky is {\textquoteleft}nice{\textquoteright} (robust to small perturbations in the game) when it is the only equilibrium, and {\textquoteleft}very nice{\textquoteright} (robust to large perturbations) when no gains from trade exist. We characterize economies where autarky is nice but not very nice; that is, when gains from trade exist and yet no trade takes place.",
keywords = "Bilateral oligopoly, Strategic market game, Trade",
author = "Alex Dickson and Roger Hartley",
year = "2011",
month = mar,
day = "1",
language = "English",
series = "University of Strathclyde Business School Discussion Papers",
publisher = "University of Strathclyde",
number = "11-04",
type = "WorkingPaper",
institution = "University of Strathclyde",
}