Analysis of the Chaotic Dynamics Duopoly Game of ISPs Bounded Rational

We propose in this paper an investigation of the dynamical behaviors of a duopoly model with two Internet services providers (ISPs). The competition between them is assumed to take place in terms of their pricing decisions and their number of cached items. According to the ISPs’ rationality level, w...

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Main Authors: Mohamed El Amrani, Hamid Garmani, Driss Ait Omar, Mohamed Baslam, Brahim Minaoui
Format: Article
Language:English
Published: Wiley 2022-01-01
Series:Discrete Dynamics in Nature and Society
Online Access:http://dx.doi.org/10.1155/2022/6632993
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author Mohamed El Amrani
Hamid Garmani
Driss Ait Omar
Mohamed Baslam
Brahim Minaoui
author_facet Mohamed El Amrani
Hamid Garmani
Driss Ait Omar
Mohamed Baslam
Brahim Minaoui
author_sort Mohamed El Amrani
collection DOAJ
description We propose in this paper an investigation of the dynamical behaviors of a duopoly model with two Internet services providers (ISPs). The competition between them is assumed to take place in terms of their pricing decisions and their number of cached items. According to the ISPs’ rationality level, we consider a scenario where both ISPs are bounded rational. Each ISP in any period uses the marginal profit observed from the previous period to choose its strategies. We compute explicitly the steady states of the dynamic system induced by bounded rationality and establish a necessary and sufficient condition for the stability of its Nash equilibrium (NE). Numerical simulations show that if some parameters of the model are varied, the stability of the NE point is lost and the complex (periodic or chaotic) behavior occurs. The chaotic behavior of the system is stabilized on the NE point by applying control.
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issn 1607-887X
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publishDate 2022-01-01
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series Discrete Dynamics in Nature and Society
spelling doaj-art-a0bdf0c204fe44358eb1570be55d6dc62025-08-20T02:20:55ZengWileyDiscrete Dynamics in Nature and Society1607-887X2022-01-01202210.1155/2022/6632993Analysis of the Chaotic Dynamics Duopoly Game of ISPs Bounded RationalMohamed El Amrani0Hamid Garmani1Driss Ait Omar2Mohamed Baslam3Brahim Minaoui4Sultan Moulay Slimane UniversitySultan Moulay Slimane UniversitySultan Moulay Slimane UniversitySultan Moulay Slimane UniversitySultan Moulay Slimane UniversityWe propose in this paper an investigation of the dynamical behaviors of a duopoly model with two Internet services providers (ISPs). The competition between them is assumed to take place in terms of their pricing decisions and their number of cached items. According to the ISPs’ rationality level, we consider a scenario where both ISPs are bounded rational. Each ISP in any period uses the marginal profit observed from the previous period to choose its strategies. We compute explicitly the steady states of the dynamic system induced by bounded rationality and establish a necessary and sufficient condition for the stability of its Nash equilibrium (NE). Numerical simulations show that if some parameters of the model are varied, the stability of the NE point is lost and the complex (periodic or chaotic) behavior occurs. The chaotic behavior of the system is stabilized on the NE point by applying control.http://dx.doi.org/10.1155/2022/6632993
spellingShingle Mohamed El Amrani
Hamid Garmani
Driss Ait Omar
Mohamed Baslam
Brahim Minaoui
Analysis of the Chaotic Dynamics Duopoly Game of ISPs Bounded Rational
Discrete Dynamics in Nature and Society
title Analysis of the Chaotic Dynamics Duopoly Game of ISPs Bounded Rational
title_full Analysis of the Chaotic Dynamics Duopoly Game of ISPs Bounded Rational
title_fullStr Analysis of the Chaotic Dynamics Duopoly Game of ISPs Bounded Rational
title_full_unstemmed Analysis of the Chaotic Dynamics Duopoly Game of ISPs Bounded Rational
title_short Analysis of the Chaotic Dynamics Duopoly Game of ISPs Bounded Rational
title_sort analysis of the chaotic dynamics duopoly game of isps bounded rational
url http://dx.doi.org/10.1155/2022/6632993
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