question archive Consider the following oligopoly model
Consider the following oligopoly model
Subject:EconomicsPrice: Bought3
Consider the following oligopoly model.
The market demand is p(Q) = 100−Q. There are three identical firms 1, 2 and 3 producing the homogeneous product. Each firm has a constant marginal cost of 0. The three firms choose their outputs simultaneously , without observing the quantity decisions by others. Find the Cournot-Nash equilibrium in this model. Obtain the profits in equilibrium for each firm.
