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1. Consider the market where there is product differentiation with two firms. The firms are choosing prices p1 and p2 and have demands given by
q1 = 40 - 0.5 p1 + p2
q2 = 60 - 2 p2 + p1
a) Assuming zero marginal and zero fixed costs, what are the firms' best response functions, that is best price of firm 1 given price of firm 2, and best price of firm 2 given price of firm one.
It is significant that the contracts between the main contractor and the customer and between the key contractor and subcontractors are back-to-back; what is meant by that term?
i want information about the theory of supply
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What is exceptional supply curves
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