Both firms in a Cournot duopoly would enjoy higher profits if A) the firms simul

Question

Both firms in a Cournot duopoly would enjoy higher profits if
A) the firms simultaneously reduced output below the Cournot Nash equilibrium
level.
B) each firm simultaneously increased output above the Cournot Nash equilibrium
level.
C) one firm reduced output below the Cournot Nash equilibrium level, while the other
firm continued to produce its Cournot Nash equilibrium output.
D) the firms simultaneously reduced output below the Nash equilibrium level and one
firm reduced output below the Cournot Nash equilibrium level, while the other firm
continued to produce its Cournot Nash equilibrium output.

Explanation / Answer

A) the firms simultaneously reduced output below the Cournot Nash equilibrium

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