If two firms are producing the exact same product, it _________ possible for the firms to earn economic profit in a Cournot oligopoly and it ________possible for the firms to earn economic profit in a Bertrand oligopoly.

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In a Cournot oligopoly, firms make their production decisions simultaneously and independently, which allows for the possibility of earning economic profit. However, in a Bertrand oligopoly, firms set prices simultaneously and aggressively undercut each other until price equals marginal cost, resulting in zero economic profit in the long run.

If Two Firms Are Producing the Exact Same Product, It