Question
Make sure you show me all of your computations (TR, TC, and your partial derivatives). You will be using the same data for the Cournot
Make sure you show me all of your computations (TR, TC, and your partial derivatives).
You will be using the same data for the Cournot and Cartel problem. Find the quantities for both firms in both market types that maxes profit. As a stretch question how much profit does each Cournot firm make and what is the joint profit for the cartel.
Assume:
- Market demand: P = 100 -.5Q1 - .5 Q2
- TC1 = 4Q1 and TC2 = .25Q22
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Microeconomics An Intuitive Approach with Calculus
Authors: Thomas Nechyba
1st edition
538453257, 978-0538453257
