![Lecture 14 - Backward induction: commitment, spies, and first-mover advantages thumbnail](https://apiminio.videolectures.net/vln/lectures/6414/1/en/thumbnail.jpg?X-Amz-Algorithm=AWS4-HMAC-SHA256&X-Amz-Credential=masoud%2F20250113%2Fus-east-1%2Fs3%2Faws4_request&X-Amz-Date=20250113T032043Z&X-Amz-Expires=604800&X-Amz-SignedHeaders=host&X-Amz-Signature=28bfefcb7f38924dcd46c32f1a676ebfa51f52ae4b14db2b66c6c641d74f3ab7)
Lecture 14 - Backward induction: commitment, spies, and first-mover advantages
Published on Nov 15, 20103513 Views
We first apply our big idea--backward induction--to analyze quantity competition between firms when play is sequential, the Stackelberg model. We do this twice: first using intuition and then using ca