A _____ shows the relationship between one firm's profit-maximizing output as a function of the output of a rival firm in a duopoly market.

Question

Quizplus · Accepted Answer

A reaction curve shows how one firm's output is affected by the output of its rival firm in a duopoly market. It helps in determining the profit-maximizing level of output for each firm, taking into account the actions of the rival firm. Therefore, the correct option is D- reaction curve.

A _____ Shows the Relationship Between One Firm's Profit-Maximizing Output