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3. Market demand is given by Q = 60 - P. There are two firms in this market. Firm 1 has a total cost function

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3. Market demand is given by Q = 60 - P. There are two firms in this market. Firm 1 has a total cost function of c(q1 ) = q, while Firm 2 has a total cost function of c(q2) = 4q2. a. If the two firms choose quantities simultaneously, what are the equilibrium quantities and price? b. Now suppose that the two firms collude. What quantities will each firm produce and what is the equilibrium price

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