Quantum Bertrand duopoly of incomplete information

Abstract

We study Bertrand's duopoly of incomplete information. It is found that the effect of quantum entanglement on the outcome of the game is dramatically changed by the uncertainty of information. In contrast with the case of complete information where the outcome increases with entanglement, when information is incomplete the outcome is maximized at some finite entanglement. As a consequence, information and entanglement are both crucial factors that determine the properties of a quantum oligopoly.

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