Now suppose United Air Lines enters the Atlanta market. Consider this to be an oligopoly market with two firms that behave in a Cournot Model fashion. The market demand schedule is cost schedule for both firms are: P = 400 - .5*Q, and firm level cost for both firms is MC=AC=Scomp=100. What is the Cournot Market Price? Fill in the blank below with your answer. Your answer should be entered as a whole number such as 102. If you get 102.56, do not round or enter any decimal places, just enter 102 and nothing else for the answer.

Economics For Today
10th Edition
ISBN:9781337613040
Author:Tucker
Publisher:Tucker
Chapter10: Monopolistic Competition And Oligoply
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Now suppose United Air Lines enters the Atlanta market. Consider this to be an oligopoly market with two firms that behave in a Cournot Model fashion. The
market demand schedule is cost schedule for both firms are:
P = 400 - .5*Q,
and firm level cost for both firms is
MC=AC=Scomp=100.
What is the Cournot Market Price? Fill in the blank below with your answer. Your answer should be entered as a whole number such as 102. If you get 102.56,
do not round or enter any decimal places, just enter 102 and nothing else for the answer.
Transcribed Image Text:Now suppose United Air Lines enters the Atlanta market. Consider this to be an oligopoly market with two firms that behave in a Cournot Model fashion. The market demand schedule is cost schedule for both firms are: P = 400 - .5*Q, and firm level cost for both firms is MC=AC=Scomp=100. What is the Cournot Market Price? Fill in the blank below with your answer. Your answer should be entered as a whole number such as 102. If you get 102.56, do not round or enter any decimal places, just enter 102 and nothing else for the answer.
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