Johan N. M. Lagerlöf (2006), “Equilibrium Uniqueness in a Cournot Model with Demand Uncertainty”, Topics in Theoretical Economics 6: No. 1, Article 19.
Abstract If Cournot oligopolists face uncertainty about the intercept of a linear demand function and if the realized market price must be non-negative, then expected demand becomes convex, which can create a multiplicity of equilibria. This note shows that if the distribution of the demand intercept has a monotone hazard rate and if another, rather weak, assumption is satisfied, then uniqueness of equilibrium is guaranteed.
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