A simple spatial model for Edgeworth cycles

Maskin & Tirole (1998) formalise Edgeworth's (1925) model of a dynamic equilibrium between two players where prices increase sharply and decrease slowly; the Edgeworth Cycle. Here, we present an application of the model, showing how Edgeworth Cycles might arise in a marketplace where spatia...

Full description

Bibliographic Details
Main Authors: Bloch, Harry, Wills-Johnson, Nick
Format: Working Paper
Published: Centre for Research in Applied Economics, Curtin Business School 2010
Subjects:
Online Access:http://hdl.handle.net/20.500.11937/17074
_version_ 1848749359305326592
author Bloch, Harry
Wills-Johnson, Nick
author_facet Bloch, Harry
Wills-Johnson, Nick
author_sort Bloch, Harry
building Curtin Institutional Repository
collection Online Access
description Maskin & Tirole (1998) formalise Edgeworth's (1925) model of a dynamic equilibrium between two players where prices increase sharply and decrease slowly; the Edgeworth Cycle. Here, we present an application of the model, showing how Edgeworth Cycles might arise in a marketplace where spatial competition is important. We illustrate the approach using the example of retail gasoline markets where Edgeworth Cycles have been widely observed.
first_indexed 2025-11-14T07:19:41Z
format Working Paper
id curtin-20.500.11937-17074
institution Curtin University Malaysia
institution_category Local University
last_indexed 2025-11-14T07:19:41Z
publishDate 2010
publisher Centre for Research in Applied Economics, Curtin Business School
recordtype eprints
repository_type Digital Repository
spelling curtin-20.500.11937-170742017-05-30T08:01:04Z A simple spatial model for Edgeworth cycles Bloch, Harry Wills-Johnson, Nick Edgeworth cycles spatial markets Maskin & Tirole (1998) formalise Edgeworth's (1925) model of a dynamic equilibrium between two players where prices increase sharply and decrease slowly; the Edgeworth Cycle. Here, we present an application of the model, showing how Edgeworth Cycles might arise in a marketplace where spatial competition is important. We illustrate the approach using the example of retail gasoline markets where Edgeworth Cycles have been widely observed. 2010 Working Paper http://hdl.handle.net/20.500.11937/17074 Centre for Research in Applied Economics, Curtin Business School fulltext
spellingShingle Edgeworth cycles
spatial markets
Bloch, Harry
Wills-Johnson, Nick
A simple spatial model for Edgeworth cycles
title A simple spatial model for Edgeworth cycles
title_full A simple spatial model for Edgeworth cycles
title_fullStr A simple spatial model for Edgeworth cycles
title_full_unstemmed A simple spatial model for Edgeworth cycles
title_short A simple spatial model for Edgeworth cycles
title_sort simple spatial model for edgeworth cycles
topic Edgeworth cycles
spatial markets
url http://hdl.handle.net/20.500.11937/17074