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MMLU-Pro / 369 / Suppose that there are two firms in the market facing no costs of production and…

Problem

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question

Suppose that there are two firms in the market facing no costs of production and a demand curve given by Q = 150 - P for their identical products. Suppose the two firms choose prices simultaneously as in the Bertrand model. Compute the prices in the nash equilibrium.

category

business

options

  1. 30
  2. 50
  3. 0
  4. 25
  5. 150
  6. 75
  7. 90
  8. 120
  9. 100
  10. 60

src

theoremQA-Finance

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