Multi Oligopolistic Dynamic Electricity Market Analysis And Simulation

Power industry is one of the basic industries in national economy,and electricity also plays an indispensable role in our daily life.Economic recession from last year is spreading further globally,and it influences the economy of our country negatively as well.The demand of electricity is decreasing,however the price of coal used to generate electricity is not decreasing.The economic situation of electricity firms is getting worse.After about three decades' improvement,electricity generation market had introduced oligopolistic competition into its system.People pay attention to whether the power system has been perfect,and which problems still need to be improved. Oligopolists also pay attention to how to make rational production decision-makings to gain the most benefit.This paper studied Chinese electricity market in three aspects:1.To understand the improvement process of power system and the change of power price,the problems which lie in power system,and the direction of the improvement of power system.2.To establish multi-player dynamic continuous oligopoly model and discrete oligopoly model,and analyze the effect and the relationship among oligopolists,and observe the trend of decision-making trough simulating the process of competition.In the paper,linear function and quadratic function are used to simulate the cost function of power firms.I analyze and simulate the factors that influence the stability of the market,and point out their functions.From the analysis and simulation,it is clear that: the power firms must adjust their strategies of quantity decisions appropriately according to own actual condition and exterior environment.3.The trends of the price and the total power supply in power industry are analyzed and simulated,and the conditions of their stabilities are also analyzed and simulated.I also studied the dialectic relationship between stability and the optimize station for the resource.