Various firms use marketing to differentiate their bottles of water (see the Application Bottled Water). If the

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Various firms use marketing to differentiate their bottles of water (see the Application “Bottled Water”). If the firms in this market engage in a Bertrand game, what is the effect of this differentiation on prices? What is the effect on welfare?

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Microeconomics

ISBN: 978-0134519531

8th edition

Authors: Jeffrey M. Perloff

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