Determine the values of the cournot equilibrium

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Reference no: EM131091228

Consider a duopoly for a homogeneous product with demand Q = 10 – p/2.

Each firm’s cost function is given by C = 10 + q (q + 1).

1. Find the equations of the best response functions of each firm

2. Determine the values of the Cournot equilibrium.

Reference no: EM131091228

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