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In the Stackelberg model, in the case of price leadership, consider D (p) = 14 - 2p and let C2 (y2) = (y ^ 2)
In the Stackelberg model, in the case of price leadership, consider D (p) = 14 - 2p and let C2 (y2) = (y ^ 2) / 2, consider that the marginal cost is constant and equal to c. Find:
The follower's offer
The residual demand of the leader
The inverse demand curve of the leader
The optimal production of the leader
The equilibrium price.
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In the Stackelberg model with price leadership the leader firm sets the price first and the follower ...
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Microeconomics An Intuitive Approach with Calculus
Authors: Thomas Nechyba
1st edition
538453257, 978-0538453257
