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This note shows a correction in Turnbull's model establishes linear Nash equilibria in supply functions, resolving discrepancies.
Turnbull (1983) describes unique symmetric Nash equilibria for supply function competition under demand uncertainty which consist of a¢ ne strategies that are nonlinear. For the same economy Klemperer and Meyer (1989) derive unique Nash equilibria that are linear. This note shows that the friction between both results comes from a mathematical error in Turnbull (1983). Correcting this error establishes the same linear Nash equilibria for both models.
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