Multiple Choice
Consider a Cournot oligopoly consisting of four identical firms producing good X.If the firms produce good X at a marginal cost of $7 per unit and the market elasticity of demand is −2,determine the profit-maximizing price.
A) $6 per unit
B) $8 per unit
C) $10 per unit
D) $12 per unit
Correct Answer:
Verified
Correct Answer:
Verified
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