cournot_bertrand

cournot_bertrand - Problems on Cournot and Bertrand...

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2. Median Her&ndahl index and median number of &rms for the US man- ufacturing sector are approximately 400 each. What can you conclude 3. Consider game 1 played in class with the di/erence that there are three (a) p = 0 : (b) p = 1 2 : (c) p = 1 4 (d) p = 3 4 : was initially 10000±3. What will it be after the merger? 5. Suppose market demand elasticity is equal to one and the market shares of Cournot competitors in this market are: 20%, 30% and 50%. If the market equilibrium price is 100, what are the marginal costs of each of 6. Consider two industries a and b: Can you tell which industry is more competitive in the sense that their average price markups are lower? 7. Suppose market demand elasticity is equal to two and the market shares of the 10 Cournot competitors are equal. If the market equilibrium price The industry demand elasticity is 2 and market price is $1000. What can you conclude about the average marginal cost in the industry? Explain.
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This note was uploaded on 10/15/2008 for the course ECON 171 taught by Professor Hopenhayn during the Spring '07 term at UCLA.

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cournot_bertrand - Problems on Cournot and Bertrand...

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