长时间没做过微观题目了,所以就不会做了!希望会的同学能帮忙解答一下!
Assume a duopoly.
The two firms (firm 1 and firm 2) are producing perfectly
substitutable goods q1 and q2 and are facing the following inverse demand schedules:
Firm 1: p1=20+0.5p2-q1
Firm 2: p2=20+0.5p1-q2
Each firm has a constant marginal cost of 20 and there are no fixed costs.
Further assume that each firm is a Cournot competitor in PRICE, not quantity.
(a)
Explain the concept of Cournot equilibrium under this market context.
(b)
Derive the Cournot equilibrium price and quantity for each firm under this market context.