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QUESTION

(still the same Scenario) Two identical firms make up an industry (duopoly)in which the market demand curve is represented by Qd=5,000-4P, and the...

(still the same Scenario) Two identical firms make up an industry (duopoly) in which the market demand curve is represented by Qd=5,000-4P, and the marginal cost (MC) is constant and equal to $650. When the two firms collude and produce the profit-maximizing output, what is the profit earned by each firm?

$180,00

$25,000

$15,000

$360,00

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