As Compared to the Basic Nash-Cournot Equilibrium for Duopolists Where

question 94

Multiple Choice

As compared to the basic Nash-Cournot equilibrium for duopolists where the firms face the same market demand curve and have identical costs,in the situation where the firms produce products which are viewed by consumers as not being identical,

• A) there will generally be different prices charged by the two firms.
• B) there will generally be different quantities produced by the two firms.
• C) one or both of the firms may practice spurious differentiation.
• D) All of the above.