Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Question 3, Text Exercise 4.1 HW Score: 97.62%, 6.83 of 7 points Part 3 of 4 Points: 0.83 of 1 Duopoly quantity-setting firms face the

image text in transcribedimage text in transcribed
Question 3, Text Exercise 4.1 HW Score: 97.62%, 6.83 of 7 points Part 3 of 4 Points: 0.83 of 1 Duopoly quantity-setting firms face the market demand p = 210- Q. Each firm has a marginal cost of $15 per unit. What is the Cournot equilibrium? The Cournot equilibrium quantities for Firm 1 (q, ) and Firm 2 (q2) are 91 = 65 units and 92 = 65 units. (Enter numeric responses using real numbers rounded to two decimal places.) The Cournot equilibrium price is P = $ 80 What is the Stackelberg equilibrium when Firm 1 moves first? The Stackelberg equilibrium quantities when Firm 1 moves first are 91 = units and 92 = units.What is the Stackelberg equilibrium when Firm 1 moves first? The Stackelberg equilibrium quantities when Firm 1 moves first are 91 = 97.5 units and q- = 48.75 units. The Stackelberg equilibrium price is p = $

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Principles Of Macroeconomics

Authors: N Gregory Mankiw

7th Edition

1285165918, 9781285165912

More Books

Students also viewed these Economics questions

Question

FDM is similar to WDM . True False

Answered: 1 week ago

Question

Go, do not wait until I come

Answered: 1 week ago

Question

Make eye contact when talking and listening

Answered: 1 week ago