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In an oligopoly market structure, there are two firms, denoted as , competing in a Cournot fashion. Each firm faces a total cost function given

In an oligopoly market structure, there are two firms, denoted as , competing in a Cournot fashion. Each firm faces a total cost function given by , where represents the quantity produced by firm . The market demand for the product is represented by the equation , where is the total quantity demanded in the market and is the market price. Cournot Nash equilibrium quantities for each firm, denoted as determined by finding the best response functions and solving for the equilibrium are

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