Suppose in a Cournot duopoly that two firms, Firm 1 and Firm 2, face market demand $P = 50 - Q$ and both have marginal cost, $M C = \$ 20$ . The equilibrium price in this market will be
A) $P = 10$
B) $P = 20$
C) $P = 30$
D) $P = 40$

Name: Suppose in a Cournot duopoly that two firms, Firm 1 and Firm 2, face market demand $P = 50 - Q$ and both have marginal cost, $M C = \$ 20$ . The equilibrium price in this market will be A) $P = 10$ B) $P = 20$ C) $P = 30$ D) $P = 40$
Brand: Quizplus
Rating: 4.8 (43 reviews)

Question

Quizplus · Accepted Answer

The Answer is C

Suppose in a Cournot Duopoly That Two Firms, Firm 1 P=50−QP = 50 - QP=50−Q

Suppose in a Cournot Duopoly That Two Firms, Firm 1 $P = 50 - Q$