Quantum Stackelberg Duopoly with Continuous Distributed Incomplete Information

A general model of the quantum Stackelberg duopoly is constructed by introducing the “minimal quantum structure into the Stackelberg duopoly with continuous distributed incomplete information, where both players only know the continuous distribution of the competitor's unit cost. In this model, the cases with complete information, discrete distributed incomplete information, and continuous distributed asymmetric information are all involved. Because of different roles played by the total information uncertainty and the information asymmetry, the game exhibits some new interesting features, such as the total information uncertainty can counteract or improve the first-mover advantage according to the value of the quantum entanglement. What's more, this general model will be helpful for the government to reduce the abuses of oligopolistic competition and to improve the economic efficiency.

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