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Figure: Monopoly Profits in Duopoly
-(Figure: Monopoly Profits in Oligopoly) Firms in the duopoly industry illustrated in the figure Monopoly Profits in Duopoly have zero fixed costs. The market demand curve is D₂. If the two firms colluded to maximize their combined economic profits, they would set the market price at _____, and combined economic profits of the firms would be _____.

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Figure: Monopoly Profits in Duopoly

-(Figure: Monopoly Profits in Oligopoly) Firms in the duopoly industry illustrated in the figure Monopoly Profits in Duopoly have zero fixed costs. The market demand curve is D₂. If the two firms colluded to maximize their combined economic profits, they would set the market price at _____, and combined economic profits of the firms would be _____.

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The Answer of Use the following to answer questions: Figure: Monopoly Profits in Duopoly -(Figure: Monopoly Profits in Oligopoly) Firms in the duopoly industry illustrated in the figure Monopoly Profits in Duopoly have zero fixed costs. The market demand curve is D₂. If the two firms colluded to maximize their combined economic profits, they would set the market price at _____, and combined economic profits of the firms would be _____. A) P₁; given by the area of the rectangle 0P₁CQ₄ B) P₁; zero C) P₃; given by the area of the rectangle 0P₃AQ₁ D) P₂; given by the area of the rectangle P₁P₂BG

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