In a homogeneous products duopoly each firm has a marginal In a homogeneous products duopoly, each..

In a homogeneous products duopoly each firm has a marginal
In a homogeneous products duopoly, each firm has a marginal cost curve MC = 10 + Qi, i = 1, 2. The market demand curve is P = 50 – Q, where Q = Q1 + Q2.

a) What are the Cournot equilibrium quantities and price in this market?

b) What would be the equilibrium price in this market if the two firms acted as a profit-maximizing cartel?

c) What would be the equilibrium price in this market if firms acted as price-taking firms?

In a homogeneous products duopoly each firm has a marginal

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