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The following market has one dominant firm and four fringe firms. All firms are producing homogenous products. The market is at long-run equilibrium and there
The following market has one dominant firm and four fringe firms. All firms are producing homogenous products. The market is at long-run equilibrium and there are zero barriers to entry. The market demand is: P = 300 - 10Q. All fringe firms have the same cost structure which is: C = 130q_f. The dominant firms cost structure is: C = 100q_d + 1.5q_d^2. What is the equilibrium price?
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