The profitability of the second mover in a Stackelberg model is

Name: The profitability of the second mover in a Stackelberg model is
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Question

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In a Stackelberg model, the first mover (leader) has a strategic advantage by setting its output level first, which typically results in higher profitability compared to the second mover (follower). The follower must then make its production decision based on the leader's choice, often leading to smaller profits for the follower.

The Profitability of the Second Mover in a Stackelberg Model