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Assume the demand curve facing an industry can be represented P Q = 100 - . Suppose that two firms collude in an infinitely repeated game, where each firm has marginal costs of 20 per unit. If firm 1 deviates on the collusive agreement, how much additional profit do they make in the period of deviation versus the profit they were making under collusion
This document contains various important questions and their appropriate answers in the subject field of Economics.
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