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Business, 28.08.2019 01:10 alexabbarker9781

To examine the trade-off between market efficiency and market power from a merger, consider a market with two firms that sell identical products. firm 1 has a constant marginal cost of $1, and firm 2 has a constant marginal cost of $2. the market demand is q = 105 - p. note that partial differential pi_1/partial differential q_1 = [105 - 1(q_1 + q_2)] - 1q_1 - 1 = 0 and partial differential pi_2/partial differential q_2 = [105 - 1(q_1 + q_2)] - 1q_2 - 2 = 0. the cournot-nash equilibrium occurs where q_1 equals and q_2 equals (enter numeric responses using real numbers rounded to two decimal places.) market output is furthermore, the equilibrium occurs at a price of $

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