Cournot Game

The Cournot game models competition among firms that simultaneously choose production quantities to maximize profit, given a market demand function. Current research focuses on analyzing the strategic behavior of AI agents within Cournot frameworks, particularly investigating the emergence of collusion and the effectiveness of various reinforcement learning algorithms and bandit approaches in achieving equilibrium. This research is significant for understanding the implications of AI in competitive markets, informing regulatory strategies, and advancing the development of efficient algorithms for solving complex equilibrium problems in economics and game theory.