What is firm c best response

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There is an oligopolistic market with three firms: A, B, and C. The market demand is Q=300-2P. Firm A's cost is TCA=75Q. Firm B's cost is TCB=65Q. Firm C's cost is TCC=60Q. Assume that the three firms compete by setting prices (Bertrand Game).

a. If firm A's price is PA=100 and firm B's price is PB=95, what is firm C's best response? Give your result with two decimal places.

b. At Nash equilibrium, what is the price charged by each firm?

c. At Nash equilibrium, what is the quantity sold by each firm?

d. At Nash equilibrium, what is each firm's profit?

Reference no: EM133080717

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