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A duopoly faces a market demand of p=150Q. Firm 1 has a constant marginal cost of MC1=$20. Firm 2's constant marginal cost is MC2=$40. Calculate
A duopoly faces a market demand of p=150Q. Firm 1 has a constant marginal cost of MC1=$20. Firm 2's constant marginal cost is MC2=$40. Calculate the output of each firm, market output, and price if there is (a) a collusive equilibrium or (b) a Cournot equilibrium.
The collusive equilibrium occurs where q1 equals ______ and q2 equals _______.
(Enter numeric responses using real numbers rounded to two decimal places)
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