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30.3 Oligopoly Two rms supply a market where the price is P = 100 Q, where Q is the total quantity supplied to the market.
30.3 Oligopoly Two rms supply a market where the price is P = 100 Q, where Q is the total quantity supplied to the market. Each rm has marginal cost of 10. (a) If the rms set their prices at the same time, what price will they set and what quantity will each rm sell in the market? {What is this model of oligopoly callled?) (b) If the rms produced their output at the same time (and the price is determined based on the total output), what quantity will each rm produce and what will the price be in the market (What is this model of oligopoly called?)
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