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Explain the edgeworth duopoly model
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- fnan421 WWord Gozden Geç r Gorunum Varc m Ne yaomak steci gnz soy evn 1) Two firms, X and Y, are planning to market their new products. Each firm can develop either TV or Laptop. Market research indicates that the resulting profits to each firm for the alternative strategies are given by the following payoff matrix: FIRM Y TV LAPTOP FIRM X TV 30, 30 50, 35 LAPTOP 40,70 20, 20 A) If both firms make their decisions at the same time and follow maximin (low-risk) strategies, what will the outcome be? B) Suppose both firms try to maximize profits, but Firm X has a head start in planning, and can commit first. Now what will the outcome be? What will the outcome be if Firm Y has a head start in planning and can commit first? IExercise A.2 . Sinergy and Dinaco are the only two companies in a high-tech industry. They are faced with the following matrix of results when deciding their research budget: After analizing the graph, answer the following questions... a) Does Sinergy have a dominant strategy? Reason your answer. b) Does Dinaco have a dominant strategy? Reason your answer. c) Is there a Nash equilibrium in this scenario? Reason your answer.Match the definition to each term listed below. Number 1 2 3 4 5 6 7 8 9 10 11 Definition A table that shows the payoffs each firm earns from every combination of firm strategies An agreement among firms to charge the same price or otherwise not to compete An option that is better than any alternative option regardless of what the other firm does An outcome of a strategic game from which neither rival wants to deviate A game outcome in which players seek to increase their mutual payoff A practice where one firm initiates a price change and the other firms follow the leader A game in which the firms choose their strategies at the same time One firm's gain must equal the other firm's loss A game in which the sum of Firms select their optimal strategies in a single time period without regard to possible interactions in subsequent time periods A game that occurs more than once the two firms' outcomes is positive Instructions: Enter a numeric response corresponding to the number of the…
- 1. What do we mean by market power in economics? What are some ways firms can attain market power? How can we, as economists, know when a firm has "too much" market power? Give an example of a firm you think has a lot of market power.2. Chapter 3 is all about game theory. Imagine you are in charge of pricing at a firm that has 20% market share in an industry where the leading firm has 50% market share. Imagine that the leader increases prices on their products. How do you think you would react? Why?Discuss how oligopoly market structure can help explain some of the decision-making processes by firms?please answer all of the questions. thank youuu
- RAGERIAL ECO X Question 3 Chapter 17 & 19 P X 13.1 Objectives and Methods of X a the more elastic the demand for x + https://ezto.mheducation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl... A to 9 ( & 19 Problems Saved Help Save & Exit In an oligopolistic market, Multiple Choice the smaller the number of firms and the more elastic the demand, the greater the markup. the larger the number of firms and the more elastic the demand, the greater the markup. the larger the number of firms and the less elastic the demand, the greater the markup. the smaller the number of firms and the less elastic the demand, the greater the markup. Submit g 53QUESTION 4 Match each of the terms to their description: Collusion A. an illegal official arrangment where firms work together B. firms work together Differentiated Products Cartel C. a game where cooperation provides the largest gains D. products have features that separate them from others. E. the branch of mathematics that analyzes decision making Game Theory Prisoner's Dilemma Click Save and Submit to save and submit. Click Save All Answers to save all answers. Save All Ar Type here to search 62°Fcan you answer 20 please
- I have attracted a picture of my question because I don't know how to insert a table, if possible, can you please answer the question in typing because I fell hard to understand hand written works, thanksCan you give us another Cinderella company successfully breaking into Oligopoly Jungle in the past and in the near future? Do you think the industry and exchange market of crypto currency (Bitcoin, Ethereum etc.) will be Oligopoly or Monopolistic competition in coming decade?Explain the general meaning of the profit payoff matrix below for oligopolists X and Y. All profit figures are in thousands. a. Use the payoff matrix to explain the mutual interdependence that characterizes oligopolistic industries. b. Assuming no collusion between X and Y, what is the likely pricing outcome? c. In view of your answer to 3b, explain why price collusion is mutually profitable. Why might there be a temptation to cheat on the collusive agreement?