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Consider a Bertrand duopoly. The market demand is q=190-p. Consumers only buy from the firm whose price is lower. If two firms charge the similar price, they share the market equally. The marginal cost for firm 1 is 40, and the marginal cost for firm 2 is also 40. There are no fixed costs. A. Find the Nash equilibrium of this Bertrand game.B. Find the equilibrium output and profit for every firm.
What are factor endowment implications? Implications of factor endowment: • Less Developed Countries to specialise and export labour intensive goods, agriculture or commodit
WHAT are relationship between them showthese relitionship with the help of digram also state relitionship between AR MR & TR.
Why is debt management difficult in Less Developed Countries? One of the biggest challenges facing Less Developed Countries debt management is making sure $ interest payments c
For any stock splits (if there were any it will look like the screen below) compare the actual and theoretical price adjustment. For example, on the day that a 2-for-1 split is ef
how does the buying and selling of stock fit the model for perfect competition?
Problem: i) Evaluate the following statement: "The First Theorem of Welfare Economics states that as long as producers and consumers act as perfect competitors and there ar
What is structural change? Structural change: Structural change arises while the associate share of GDP and employment accounted for through the primary, secondary and te
why does the quantity of salt demanded tend to be unresponsive to changes in its price?
Question 1: a) Explain, with the use of examples, what is meant by the ‘Factor Endowment Theory'. b) According to you, can the ‘Factor Endowment Theory' be a reasonable e
Why do countries trade? International trade is the swap of goods and services among countries. Trade enhances consumer choice and complete welfare. Various countries have v
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