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Consider a market in which four firms compete as quantity setters (i.e. firms are engaged in Cournot competition), and the market demand curve is given
Consider a market in which four firms compete as quantity setters (i.e. firms are engaged in Cournot competition), and the market demand curve is given by Q = 9,000 - 10P. All firms have constant marginal cost equal to 40. In equilibrium, total quantity supplied and price are:
a) Q = 2150 and P = 80
b) Q = 1720 and P = 300
c) Q = 6880 and P = 212
d) Q = 2866.6 and P = 80
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