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Consider a Bertrand oligopoly consisting of five firms that produce an identical product at a marginal cost of $10. There is no fixed cost. The
Consider a Bertrand oligopoly consisting of five firms that produce an identical product at a marginal cost of $10. There is no fixed cost. The inverse demand function for this product is P = 60 - 0.2Q.Calculate each firm's equilibrium output, equilibrium market price, and the profit each firm earn in the equilibrium. Show all work in your calculations. Rounding numbers to one decimal place.
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