Consider a COURNOT duopoly. Market demand is P(Q)=140-Q, and each firm faces a marginal cost of $20 per unit. Firm 1 has produced 43 and Firm 2 has produced 30. What is Firm 1's producer surplus?
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Consider a COURNOT duopoly. Market demand is P(Q)=140-Q, and each firm faces a marginal cost of $20 per unit. Firm 1 has produced 43 and Firm 2 has produced 30. What is Firm 1's
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- Consider a COURNOT duopoly. Market demand is P(Q)=140-Q and each firm faces a constant marginal cost of $20. If Firm 1 produces 29 units and firm 2 produces 30 units, what is Firm 2's Producer Surplus? Enter a number only, drop the $ sign.Consider the following Stackelberg duopoly. Both firms produce a homogenous good. Firm 1 chooses how much to supply first. Firm 2 chooses how much to supply after observing the quantity supplied by firm 1. The market demand is Q= 100 – 4 P. For firm i, the total cost of production is TC(q) =5q,+2. What is the optimal quantity supplied by firm 12 10 20 30 40 QUESTION 6 Consider the following Stackelberg duopoly. Both produce a homogenous good. Firm 1 chooses how much to supply first. Firm 2 chooses how much to supply after observing the quantity supplied from firm 1. The market demand is Q= 100 - 4P. For firm i, the total cost of production is TC(q) =5q,+2. What is the market clearing price? O 10 O 15 20 O 25Consider a COURNOT duopoly. Market demand is P(Q)=18-2Q, and each firm faces a marginal cost of $5 per unit. How much does each firm's producer surplus increase if firms can collude with each other? Assume the firms evenly split the producer surplus that comes from colluding.
- Suppose the inverse demand for a particular good is given by P = 1200-12Q. Furthermore, there are only two firms, A and B. Firm A's marginal cost is a constant $25, and Firm B's marginal cost is a constant $20. Assume these two firms engage in Cournot competition. If we assume that the firm with the lowest costs could supply the entire market, then the deadweight loss due to the market power these two firms exert through Cournot competition equals $. 4 [Round your answer to the nearest two decimals.]Question 11 Consider a BERTRAND duopoly where each firm's price MUST BE IN WHOLE DOLLARS. Each firm incurs a $80 fixed costs and can produce any quantity without additional cost. Market demand is P(Q)=100-Q. Firm 1 has chosen $23 and Firm 2 has chosen $50. What are Firm 1's profits? Do not enter the $.Consider a Cournot duopoly. The market demand function is P = 180 – 2(q₂ + q₂), where P is the market price, q₂ is the output produced by Firm 1 and q₂ is the output produced by Firm 2. The two firms have a constant marginal cost c = 30. What is the total output in this market? Round your answer to the nearest integer (e.g. 50)
- Consider a Cournot duopoly. The market demand function is P = 112-1(q1 + q2), where P is the market price, q1 is the output produced by Firm 1 and q2 is the output produced by Firm 2. The two firms have a constant marginal cost c = 17. What is Firm 2's profit ? Round your answer to the nearest integer (e.g. 50)Consider a duopoly, i.e., an industry with only two firms: firm A and firm B, making the same product. The industry’s inverse demand is P(Q)=320−(1/5)Q, where P is the market price and Q is the total industry output. Each firm has a marginal cost MC of $20. There are no fixed costs and no barriers to exit the market. a) Suppose that the two firms engage in Cournot competition. Find the equilibrium price PNE in the industry, the equilibrium outputs QANE and QBNE, as well as the profits πANE and πBNE, for each firm. b) Suppose the marginal cost for firm B increases from $20 to $140, while everything else remains unchanged. Find the new equilibrium price PNE in the industry, the new equilibrium outputs QANE and QBNE, as well as the new profits πANE and πBNE for each firm. c) Suppose that, in addition to the marginal cost increase from $20 to $140 from sub question b), firm B also has a fixed cost of $2500, out of which $2100 may be recouped if it shuts down; everything else remains…Consider a BERTRAND duopoly where each firm's price MUST BE IN WHOLE DOLLARS. Each firm incurs a $70 fixed costs and can produce any quantity without additional cost. Market demand is P(Q)=100-Q. Firm 1 has chosen $36 and Firm 2 has chosen $50. What are Firm 1's profit?
- Suppose a country's mobile phone industry is supplied by only two firms (i.e. an oligopoly). Explain how the presence of two firms affects the price elasticity of demand of each firm's output.Consider a Bertrand duopoly where market demand is P(Q)=107-5Q. Each firm faces a marginal cost $18 and no fixed cost. what is one market price that can occur in a Nash equilibrium?A community's demand for monthly subscription to a streaming music service is shown by the following table. Assume that there are only two firms serving this market (Firm A and Firm B), each firm offers the same quality of service and music selection, and that each firm’s marginal cost is constant and equal to 0 (zero). (please refer to table provided) If this market were highly competitive instead of a duopoly, the quantity of streaming movie subscriptions purchased each month would be ______ If the two firms agreed to each supply one half of the quantity a monopoly would supply, the contract would specify that each firm would supply ____
