Suppose two firms, Firm A and Firm B, are competing by setting quantities (Cournot competition). The two firms choose…

Suppose two firms, Firm A and Firm B, are competing by setting quantities (Cournot competition). The two firms choose…

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Suppose two firms, Firm A and Firm B, are competing by setting quantities
(Cournot competition).
The two firms choose between producing 500 units or 1000 units. If the total
output is 1000 units, the price is $50 per unit; if total output is 1500 units, the price
is $25 per unit; if total output is 2000 units, the price is $10 per unit.
Based on the information provided, fill in the firms’ revenues in the payoff matrix
below with Firm A choosing the row and Firm B choosing the column.
QB=1000
QB=500
QA=1000
QA=500

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