Bottenecks in (Stochastic) Oligopoly Theory

Stochastic game theory has been briefly, but productively, applied to economic models of oligopoly. Its principal contribution has been to ensure a rigorous appreciation for the importance of information structure on multi-firm decision making. Continued progress in this field has been stymied by difficulties in developing more general models and solution techniques. This talk introduces a simple stochastic oligopoly model, and explains the current limits to its generalization.