Two companies are competing in the market. There are no other companies in this market in this
Question:
Two companies are competing in the market. There are no other companies in this market in this field.
If company A has reasonable information about how much company B will produce. As well as that A knows more or less what the demand is. Then firm A will produce the quantity that maximizes its profit. Company B behaves the same towards A. This leads to ....
...Cournot equilibrium and the quantity produced will be about half of the quantity in perfect competition
...Berntrand solutions and the quantity produced will be about 2/3 of the quantity in perfect competition
...Berntrand solutions and the quantity produced will be about half of the quantity in perfect competition
... Cournot equilibrium and the quantity produced will be about 2/3 of the quantity in perfect competition
International Marketing And Export Management
ISBN: 9781292016924
8th Edition
Authors: Gerald Albaum , Alexander Josiassen , Edwin Duerr