Question: what is the correct answer? Incentive to deviate from the collusive agreement. the question makes no sense - the collusive agreement can be easily maintained.

what is the correct answer?

what is the correct answer? Incentive to deviate from the collusive agreement.

Incentive to deviate from the collusive agreement. the question makes no sense - the collusive agreement can be easily maintained. D Question 26 3.34 pts Two ophthalmologists, Smith and Jones, are duopolists in a medium sized local market for laser corrective eye surgery where the demand curve is P. = 4,360 - 2.5QTOT. QTOT is the number of surgeries performed by both doctors combined. The marginal cost for both doctors is $1,000. clinic size. Each doctor is to choose the size of his own clinic (= QF & QR.) Neither doctor will know the exact choice of the other when deciding on his own How much additional profit will Jones yield if he deviates from his shared monopoly output? (This question is computational. If you can't get the solution, do the rest of the exam and come back to it later.) $564,480 O $62,720 O $133,280 O $501,760 O $70,560

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