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categoryالإدارة والاقتصاد schoolبكالوريوس event_available2026-07-14

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10) Consider two versions of the following two-stage game: In the first stage, each of N firms chooses either to enter a market at a small fixed sunk cost F or to stay out of the market. Each firm decides sequentially (firm 1 decides, then firm 2 decides, etc.) and knows the decisions of all previous firms. In the second stage, the firms produce a homogeneous product and compete. In version (B), the firms compete in a Bertrand fashion; in version (C), the firms compete in a Cournot fashion. Assume P(Q) = 10-Q, C(q)=q. F=1. a) b) For version B of this game, how many firms will enter? For version C of this game, how many firms will enter?

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