Business, 31.10.2019 00:31 simmy6

Two firms compete in selling identical widgets. they choose their output levels q1 and q2 simultaneously and face the demand curve p = 30 - qwhere q = q1 + q2. until recently, both firms had zero marginal costs. recent environmental regulations have increased firm 2’s marginal cost to $15. firm 1’s marginal cost remains constant at zero. true-false: is the following statement true of false? "as a result, the market price will rise to the monopoly level." solve for the cournot equilibrium and write a convincing explanation of your answer.

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Two firms compete in selling identical widgets. they choose their output levels q1 and q2 simultaneo...

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