Consider a Stackelberg Duopoly with the Following Inverse Demand Function

question 74

Multiple Choice

Consider a Stackelberg duopoly with the following inverse demand function: P = 100 - 2Q₁ - 2Q₂.The firms' marginal cost are identical and given by MC_i(Q_i) = 2.Based on this information follower's reaction function is

• A)r_F(Q_L) = 24.5 - 0.5Q_F.
• B)Q_L = 49 - 0.5Q_F.
• C)r_F(Q_L) = 24.5 - 0.5Q_L.
• D)Q_F = 49 - 0.25Q_L.

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Definitions:

High-power

Refers to an objective lens on a microscope with a high magnification capability, used for examining small or detailed samples.

Iris Diaphragm

It is an adjustable aperture in optical devices, like microscopes and cameras, controlling the amount of light passing through the lens.

Revolving Nosepiece

A rotating part of a microscope that holds the objectives, allowing for quick changing of magnification by rotating the objectives into position.

Substage Light

A light source located beneath the stage of a microscope that illuminates the specimen from below, enhancing its visibility.