In Cournot equilibrium each firm chooses the quantity that maximizes its own profits assuming that the firm's rival will continue to sell at the same price as before.

Name: In Cournot equilibrium each firm chooses the quantity that maximizes its own profits assuming that the firm's rival will continue to sell at the same price as before.
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In Cournot equilibrium, each firm chooses the quantity that maximizes its own profits assuming that the rival's quantity will remain unchanged, not the price.

In Cournot Equilibrium Each Firm Chooses the Quantity That Maximizes