Table: Demand for Solar Water Heaters

Table: Demand for Solar Water

Use Table: Demand for Solar Water Heaters. The marginal cost $of$ producing solar water heaters $is$ zero, and only two

firms, Rheem and Calefi, produce them. Suppose they agree $to$ produce only $25$ water heaters each. $If$ Rheem cheats $on$

the agreement and produces $30$ water heaters, what $is$ the quantity effect for Rheem?

$$9,000$

$$4,500$

$$2,000$

$$1,000$