In the market for widgets two firms sell identical products

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In the market for widgets, two firms sell identical products, compete by choosing the price at which they sell their product, and choose their prices at the same time. What will the equilibrium price and quantity be relative to what would occur if the market were instead perfectly competitive?

the same quantity and the same price

a lower quantity and the same price

a lower quantity and a lower price

a lower quantity and a higher price

Reference no: EM13735292

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