OURSE: Microeconomics - Perfect Competition, Monopoly and Oligopoly Suppose a market with 2 firms whose total costs are given by CTi = 10qi, facing a market demand given by: Q = 100 - P. (a) Determine Perfect Competition outcome, its marginal cost (MC), its price and market quantity (q). Graph. (b) Determine outcome of a monopoly, remembering that marginal revenue (MR) will be equal to marginal cost (MC) in this case and that monopolist's profit is (P × Q) - TC. Graph. Then, what difference can be seen by comparing this result with perfect competition result obtained in (a) above? (c) Determine Cournot result with identical firms (equal access) and there is product homogeneity (equal price), remembering to maximize profits of firms, derive them and obtain Reaction Function. Graph (d) Determine Cournot result with product hom
COURSE:
Suppose a market with 2 firms whose total costs are given by CTi = 10qi, facing a market
Q = 100 - P.
(a) Determine Perfect Competition outcome, its marginal cost (MC), its
(b) Determine outcome of a monopoly, remembering that marginal revenue (MR) will be equal to marginal cost (MC) in this case and that monopolist's profit is (P × Q) - TC. Graph. Then, what difference can be seen by comparing this result with perfect competition result obtained in (a) above?
(c) Determine Cournot result with identical firms (equal access) and there is product homogeneity (equal price), remembering to maximize profits of firms, derive them and obtain Reaction Function. Graph
(d) Determine Cournot result with product homogeneity (equal price) and different costs such that: CT1=q12 and CT2 = 12q2 What difference do you appreciate with respect to result obtained in (c) above Graph.
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What happened to answer to question d) Please I need it. THANKS
by Bartleby ExpertPlease, I need an answer for question d)
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