In what ways is game theory of use in analyzing the behaviour of firms in an oligopolistic market?

An oligopolistic market is a market dominated by a small number of participants who are able to collectively exert control over supply and market prices. A recurrent theme of oligopoly theory is whether prices are determinate with oligopolistic interaction. *A number of interesting new developments on the oligopoly front can be traced back to Stigler (1964) who examined the relationship between collusion and the information structure of an oligopolistic market. He argued that the basic problem …

…for cartelization. (*source from http://www.ssc.upenn.edu /polisci/psci260/OPECweb/OPECHIST.HTM) Bibliography Oligopoly Pricing, Old Ideas and New Tools - Xavier Vives (1999), The MIT Press Oligopoly, Competition and Welfare - P.A. Geroski, L. Phlips, A. Ulph (1985), Basil Blackwell The Theory of Games and Markets - J. Rosenmuller (1981), North Holland Introduction to Industrial Organization - L.M.B Cabral (2002), The MIT Press http://www.ssc.upenn.edu/polisci/psci260/OPECweb/OPECHIST.HTM