Analysis of dynamic Cournot learning models for generation companies based on conjectural variations and forward expectation

Generation companies decision-making modeling by linear control theory

“…In [8] the authors present a theory and method for estimating the conjectural variations (CV) of GENCOs. CV is a game-theoretical concept in which players have a conjecture about the behavior of their opponents [16]. Based on these estimates of CV in an actual electricity market, an empirical methodology is also proposed to analyze the dynamic oligopoly behaviors underlying market power.…”