Question: The market demand function is Q equals 1 0 , 0 0 0 - 1 0 0 0 P each firm has a marginal cost
The market demand function is Q equals P each firm has a marginal cost of wequals four cents firm the leader act before firm to the follower Somvw for the Stackelberg Nash equilibrium quantities prices and profits compare solution to the cournot Nash equilibrium Stackelberg Nash equilibrium quantities are Q equals units and Q equals units the Stackelberg equilibrium price is P equals $ profits for the firms are pi one equals $ and two equals $ the cournot Nash equilibrium quantities are
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