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An industry contains two firms, both with cost function TC(y) = 30y. The demand function for the firms' output is p = 120 - Y, where Y is the total output (Y=y1+y2).

What are the firms' outputs and profits in Nash equilibrium of this duopoly model?

What are the firms' outputs and profits if they collude and decide to split total production in half for each?

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Microeconomics, Economics

Category:- Microeconomics
Reference No.:- M91236801

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