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How does the Stackelberg duopoly model modify the Cournot duopo..…
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consider a stackelberg duopoly with the following inverse demand function p 100 2q1 2q2 the firms marginal costs are identical and are given by mci 2 based on this information what is the consumer sur
consider a stackelberg duopoly with the following inverse demand func…
Apr 27, 2023
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The inverse demand for a homogeneous-product Stackelberg duopoly is P = 20,000 - 5Q. The cost structures for the leader and the follower, respectively, are CL(QL) = 3,000QL and CF(QF) = 4,000QF.a. What is the follower's reaction function?b. Determine the equilibrium output level for both the leader and the follower.c. Determine the equilibrium market price.d. Determine the profits of the leader and the follower.
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